[Federal Register Volume 59, Number 248 (Wednesday, December 28, 1994)]
[Unknown Section]
[Page ]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-30665]
[Federal Register: December 28, 1994]
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DEPARTMENT OF DEFENSE
DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Parts 6, 8, 15, 41, and 52
[FAC 90-23; FAR Case 91-13; Item IV]
RIN 9000-AE48
Federal Acquisition Regulation; Acquisition of Utility Services
AGENCIES: Department of Defense (DOD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
ACTION: Final rule.
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SUMMARY: The Civilian Agency Acquisition Council and the Defense
Acquisition Regulations Council have agreed on a final rule revising
the FAR coverage dealing with utility services. This rule will replace
the existing coverage concerning acquisition of utility services and
will provide more comprehensive coverage applicable to all executive
agencies. The current FAR coverage, in large measure, did not apply to
the Department of Defense, and it also exempted agency regulatory
requirements in the utility area that predated the establishment of the
FAR. This regulatory action was not subject to Office of Management and
Budget review under Executive Order 12866, dated September 30, 1993.
EFFECTIVE DATE: February 27, 1995.
FOR FURTHER INFORMATION CONTACT: Mr. Edward Loeb at (202) 501-4547 in
reference to this FAR case. For general information, contact the FAR
Secretariat, room 4037, GS Building, Washington, DC 20405, (202) 501-
4755. Please cite FAC 90-23, FAR case 91-13.
SUPPLEMENTARY INFORMATION:
A. Background
In response to the need to provide more comprehensive utility
coverage in the FAR, a major rewrite of the existing FAR coverage was
undertaken. The principal changes are as follows:
(1) FAR Part 41 applies to all Executive agencies and will enable
agencies to delete most utilities provisions from their agency FAR
supplements. The current FAR Subpart 8.3 permitted agencies' procedures
predating the FAR to continue to be used. In addition, Subpart 8.3
previously exempted DOD from much of the FAR coverage.
(2) Substantial additional guidance for contracting officers in
acquiring and administering utility service contracts are included.
(3) Additional definitions applicable to utility service contracts
are established.
(4) Coverage is established delineating the existing statutory and
delegated authority for utility service contracting.
(5) FAR clauses to be used on a ``substantially the same as'' basis
are established.
(6) Substantive coverage providing for handling rate changes by the
agencies is established. This coverage enables agencies to handle such
matters without automatically referring them to GSA for action.
(7) Coverage is added providing generally for the use of standard
forms for acquisition of utility services.
(8) ``Standard'' specification formats have been established for
use in acquiring utility services. Such formats will not be included in
the FAR but will be available for agency use.
(9) ``Standard'' annual utility service review formats have been
established for use in acquiring utility services. Such formats will
not be included in the FAR but will be available for agency use.
B. Regulatory Flexibility Act
The changes may have a significant economic impact on a substantial
number of small entities within the meaning of the Regulatory
Flexibility Act, 5 U.S.C. 601 et seq., because a number of public
utilities, especially rural electrical cooperatives, are small
businesses. A Final Regulatory Flexibility Analysis (FRFA) has been
prepared and will be provided to the Chief Counsel for Advocacy for the
Small Business Administration. A copy of the FRFA may be obtained from
the FAR Secretariat. Comments from small entities concerning the
affected FAR subpart will also be considered in accordance with 5
U.S.C. 610. Such comments must be submitted separately and cite 5 U.S.C
601, et seq. (FAC 90-23, FAR case 91-13) in correspondence.
C. Paperwork Reduction Act
The Paperwork Reduction Act (Pub. L. 96-511) applies because the
final rule contains information collection requirements. A request for
approval of a new information collection requirement concerning OMB
Control Numbers 9000-0122 through 9000-0126, Acquisition of Utility
Services, was submitted to the Office of Management and Budget under 44
U.S.C. 3501, et seq. The information collection was approved through
March 31, 1995. Public comments concerning this request were invited
through a Federal Register notice published on January 9, 1992.
D. Public Comments
On May 24, 1991, a proposed rule was published in the Federal
Register (56 FR 23982). In response to the notice of proposed
rulemaking, 263 public comments were received. The comments of all
respondents were considered in developing this final rule. As a result,
the following changes have been made:
(1) Changes have been made to the definitions of connection charge
and franchise service territory and the definition of shared savings
project has been deleted.
(2) The policies governing delegation of authority to contract for
utility services have been revised.
(3) Changes have been made to the coverage dealing with a utility's
refusal to enter into a contract.
(4) Changes have been made to the coverage providing for monthly
and annual reviews of the utility invoices and or services.
(5) A number of the prescriptions for the solicitation provision
and contract clauses have been modified.
(6) Numerous changes have been made to the contract clauses to
address specific comments and to provide more flexibility for the
contracting officer to tailor specific aspects to reflect the practices
in that area.
(7) Other miscellaneous changes have been made.
List of Subjects in 48 CFR Parts 6, 8, 15, 41, and 52
Government procurement.
Dated: December 7, 1994.
Albert A. Vicchiolla,
Director, Office of Federal Acquisition Policy.
Therefore, 48 CFR parts 6, 8, 15, 41, and 52 are amended as set
forth below:
1. The authority citation for 48 CFR parts 6, 8, 15, 41, and 52
continues to read as follows:
Authority: 40 U.S.C. 486(c); 10 U.S.C. chapter 137; and 42
U.S.C. 2473(c).
PART 6--COMPETITION REQUIREMENTS
2. Section 6.302-1 is amended by revising paragraph (b)(3) to read
as follows:
6.302-1 Only one responsible source and no other supplies or services
will satisfy agency requirements.
* * * * *
(b) * * *
(3) When acquiring utility services (see 41.101), circumstances may
dictate that only one supplier can furnish the service (see 41.202); or
when the contemplated contract is for construction of a part of a
utility system and the utility company itself is the only source
available to work on the system.
* * * * *
PART 8--REQUIRED SOURCES OF SUPPLIES AND SERVICES
3. Section 8.002 is amended by revising paragraph (b) to read as
follows:
8.002 Use of other Government supply sources.
* * * * *
(b) Public utility services (see part 41 of this title).
* * * * *
Subpart 8.3 [Removed and Reserved]
4. Subpart 8.3, consisting of sections 8.300 through 8.309, is
removed and reserved.
PART 15--CONTRACTING BY NEGOTIATION
15.812-2 [Amended]
5. Section 15.812-2 is amended in paragraph (a)(3) by removing the
words ``subpart 8.3'' and inserting ``part 41'' in its place.
PART 41--ACQUISITION OF UTILITY SERVICES
6. Part 41, consisting of sections 41.100 through 41.702, is added
to read as follows:
Sec.
Subpart 41.1--General
41.100 Scope of part.
41.101 Definitions.
41.102 Applicability.
41.103 Statutory and delegated authority.
Subpart 41.2--Acquiring Utility Services
41.201 Policy.
41.202 Procedures.
41.203 GSA assistance.
41.204 GSA areawide contracts.
41.205 Separate contracts.
41.206 Interagency agreements.
Subpart 41.3--Requests for Assistance
41.301 Requirements.
Subpart 41.4--Administration
41.401 Monthly and annual review.
41.402 Rate changes and regulatory intervention.
Subpart 41.5--Solicitation Provision and Contract Clauses
41.501 Solicitation provision and contract clauses.
Subpart 41.6--Forms
41.601 Utility services forms.
Subpart 41.7--Formats
41.701 Formats for utility service specifications.
41.702 Formats for annual utility service review.
Authority: 40 U.S.C. 486(c); 10 U.S.C. chapter 137; and 42
U.S.C. 2473(c).
Subpart 41.1--General
41.100 Scope of part.
This part prescribes policies, procedures, and contract format for
the acquisition of utility services. (See 41.102(b) for services that
are excluded from this part.)
41.101 Definitions.
As used in this part,
Areawide contract means a contract entered into between the General
Services Administration (GSA) and a utility service supplier to cover
utility service needs of Federal agencies within the franchise
territory of the supplier. Each areawide contract includes an
``Authorization'' form for requesting service, connection,
disconnection, or change in service.
Authorization means the document executed by the ordering agency
and the utility supplier to order service under an areawide contract.
Connection charge means all nonrecurring costs, whether refundable
or nonrefundable, to be paid by the Government to the utility supplier
for the required connecting facilities, which are installed, owned,
operated, and maintained by the utility supplier (see Termination
liability).
Delegated agency means an agency that has received a written
delegation of authority from GSA to contract for utility services for
periods not exceeding ten years (see 41.103(b)).
Federal Power and Water Marketing Agency means a Government entity
that produces, manages, transports, controls, and sells electrical and
water supply service to customers.
Franchise territory means a geographical area that a utility
supplier has a right to serve based upon a franchise, a certificate of
public convenience and necessity, or other legal means.
Intervention means action by GSA or a delegated agency to formally
participate in a utility regulatory proceeding on behalf of all Federal
executive agencies.
Multiple service locations means the various locations or delivery
points in the utility supplier's service area to which it provides
service under a single contract.
Rates may include rate schedules, riders, rules, terms and
conditions of service, and other tariff and service charges, e.g.,
facilities use charges.
Separate contract means a utility services contract (other than a
GSA areawide contract, an Authorization under an areawide contract, or
an interagency agreement) to cover the acquisition of utility services.
Termination liability means a contingent Government obligation to
pay a utility supplier the unamortized portion of a connection charge
and any other applicable nonrefundable service charge as defined in the
contract in the event the Government terminates the contract before the
cost of connection facilities has been recovered by the utility
supplier (see ``Connection charge'').
Utility service means a service such as furnishing electricity,
natural or manufactured gas, water, sewerage, thermal energy, chilled
water, steam, hot water, or high temperature hot water. The application
of part 41 to other services (e.g., rubbish removal, snow removal) may
be appropriate when the acquisition is not subject to the Service
Contract Act of 1965 (see 37.107).
41.102 Applicability.
(a) Except as provided in paragraph (b) of this section, this part
applies to the acquisition of utility services for the Government,
including connection charges and termination liabilities.
(b) This part does not apply to--
(1) Utility services produced, distributed, or sold by another
Federal agency. In those cases, agencies shall use interagency
agreements (see 41.206);
(2) Utility services obtained by purchase, exchange, or otherwise
by a Federal power or water marketing agency incident to that agency's
marketing or distribution program;
(3) Cable television (CATV) and telecommunications services;
(4) Acquisition of natural or manufactured gas when purchased as a
commodity;
(5) Acquisition of utilities services in foreign countries;
(6) Acquisition of rights in real property, acquisition of public
utility facilities, and on-site equipment needed for the facility's own
distribution system, or construction/maintenance of Government-owned
facilities; or
(7) Third party financed shared-savings projects authorized by 42
U.S.C. 8287. However, agencies may utilize part 41 for any energy
savings or purchased utility service directly resulting from
implementation of a third party financed shared-savings project under
42 U.S.C. 8287 for periods not to exceed 25 years.
41.103 Statutory and delegated authority.
(a) Statutory authority. (1) The General Services Administration
(GSA) is authorized by section 201 of the Federal Property and
Administrative Services Act of 1949, as amended (40 U.S.C. 481), to
prescribe policies and methods governing the acquisition and supply of
utility services for Federal agencies. This authority includes related
functions such as managing public utility services and representing
Federal agencies in proceedings before Federal and state regulatory
bodies. GSA is authorized by section 201 of the Act to contract for
utility services for periods not exceeding ten years.
(2) The Department of Defense (DOD) is authorized by 10 U.S.C.
2301, 2304, and 40 U.S.C. 474(3) to acquire utility services for
military facilities.
(3) The Department of Energy (DOE) is authorized by the Department
of Energy Organization Act (42 U.S.C. 2751, et seq.) to acquire utility
services. DOE is authorized by the Atomic Energy Act of 1954, as
amended (42 U.S.C. 2204), to enter into new contracts or modify
existing contracts for electric services for periods not exceeding 25
years for uranium enrichment installations.
(b) Delegated authority. GSA has delegated its authority to enter
into utility service contracts for periods not exceeding ten years to
DOD and DOE, and for connection charges only to the Department of
Veteran Affairs. Contracting pursuant to this delegated authority shall
be consistent with the requirements of this part. Other agencies
requiring utility service contracts for periods over one year, but not
exceeding ten years, may request a delegation of authority from GSA at
the address specified in 41.301(a). In keeping with its statutory
authority, GSA will, as necessary, conduct reviews of delegated
agencies' acquisitions of utility services to ensure compliance with
the terms of the delegation and applicable laws and regulations.
(c) Requests for delegations of contracting authority from GSA
shall include a certification from the acquiring agency's Senior
Procurement Executive that the agency has--
(1) An established acquisition program;
(2) Personnel technically qualified to deal with specialized
utilities problems; and
(3) The ability to accomplish its own pre-award contract review.
Subpart 41.2--Acquiring Utility Services
41.201 Policy.
(a) Subject to paragraph (d) of this section, it is the policy of
the Federal Government that agencies obtain required utility services
from sources of supply which are most advantageous to the Government in
terms of economy, efficiency, reliability, or service.
(b) Except for acquisitions below the small purchase limitation
(see 13.000), agencies shall acquire utility services by a bilateral
written contract, which must include the clauses required by 41.501,
regardless of whether rates or terms and conditions of service are
fixed or adjusted by a regulatory body. Agencies may not use the
utility supplier's forms and clauses to avoid the inclusion of
provisions and clauses required by 41.501 or by statute. (See 41.202(c)
for procedures to be used when the supplier refuses to execute a
written contract.)
(c) Specific operating and management details, such as procedures
for internal agency contract assistance and review, delegations of
authority, and approval thresholds, may be prescribed by an individual
agency subject to compliance with applicable statutes and regulations.
(d)(1) Section 8093 of the Department of Defense Appropriations Act
of 1988, Pub. L. 100-202, provides that none of the funds appropriated
by that Act or any other Act with respect to any fiscal year by any
department, agency, or instrumentality of the United States, may be
used for the purchase of electricity by the Government in any manner
that is inconsistent with state law governing the providing of electric
utility service, including state utility commission rulings and
electric utility franchises or service territories established pursuant
to state statute, state regulation, or state-approved territorial
agreements.
(2) The Act does not preclude--
(i) The head of a Federal agency from entering into a contract
pursuant to 42 U.S.C. 8287 (which pertains to the subject of shared
energy savings including cogeneration);
(ii) The Secretary of a military department from entering into a
contract pursuant to 10 U.S.C. 2394 (which pertains to contracts for
energy or fuel for military installations including the provision and
operation of energy production facilities); or
(iii) The Secretary of a military department from purchasing
electricity from any provider when the utility or utilities having
applicable state-approved franchise or other service authorizations are
found by the Secretary to be unwilling or unable to meet unusual
standards for service reliability that are necessary for purposes of
national defense.
(3) Additionally, the head of a Federal agency may--
(i) Consistent with applicable state law, enter into contracts for
the purchase or transfer of electricity to the agency by a non-utility,
including a qualifying facility under the Public Utility Regulatory
Policies Act of 1978;
(ii) Enter into an interagency agreement, pursuant to 41.206 and
17.5, with a Federal power marketing agency or the Tennessee Valley
Authority for the transfer of electric power to the agency; and
(iii) Enter into a contract with an electric utility under the
authority or tariffs of the Federal Energy Regulatory Commission.
(e) Prior to acquiring electric utility services on a competitive
basis, the contracting officer shall determine, with the advice of
legal counsel, by a market survey or any other appropriate means, e.g.
consultation with the state agency responsible for regulating public
utilities, that such competition would not be inconsistent with state
law governing the provision of electric utility service, including
state utility commission rulings and electric utility franchises or
service territories established pursuant to state statute, state
regulation, or state-approved territorial agreements. Proposals from
alternative electric suppliers must provide a representation that
service can be provided in a manner not inconsistent with section 8093
of Public Law 100-202 (see 41.201(d)). The representation must be
supported with appropriate legal and factual rationale.
41.202 Procedures.
(a) Prior to executing a utility service contract, the contracting
officer shall comply with parts 6 and 7 and 41.201 (d) and (e). In
accordance with parts 6 and 7, agencies shall conduct market surveys
and perform acquisition planning in order to promote and provide for
full and open competition provided that the contracting officer
determines that any resultant contract would not be inconsistent with
applicable state law governing the provision of electric utility
services. If competition for an entire utility service is not
available, the market survey may be used to determine the availability
of competitive sources for certain portions of the requirement. The
scope of the term ``entire utility service'' includes the provision of
the utility service capacity, energy, water, sewage, transportation,
standby or back-up service, transmission and/or distribution service,
quality assurance, system reliability, system operation and
maintenance, metering, and billing.
(b) In performing a market survey (see 7.101), the contracting
officer shall consider, in addition to alternative competitive sources,
use of the following:
(1) GSA areawide contracts (see 41.204);
(2) Separate contracts (see 41.205); and
(3) Interagency agreements (see 41.206).
(c) When a utility supplier refuses to execute a tendered contract
as outlined in 41.201(b), the agency shall obtain a written definite
and final refusal signed by a corporate officer or other responsible
official of the supplier (or if unobtainable, document any unwritten
refusal), and transmit this document, along with statements of the
reasons for the refusal and the record of negotiations, to GSA at the
address specified at 41.301(a). Unless urgent and compelling
circumstances exist, the contracting officer shall notify GSA prior to
acquiring utility services without executing a tendered contract. After
such notification, the agency may proceed with the acquisition and pay
for the utility service under the provisions of 31 U.S.C. 1501(a)(8)--
(1) By issuing a purchase order in accordance with subpart 13.5; or
(2) By ordering the necessary utility service and paying for it
upon the presentation of an invoice, provided that a determination is
approved by the head of the contracting activity that a written
contract cannot be obtained and that the issuance of a purchase order
is not feasible.
(d) When obtaining service without a bilateral written contract,
the contracting officer shall establish a utility history file on each
acquisition of utility service provided by a contractor. This utility
history file shall contain, in addition to applicable documents in
4.803, the following information:
(1) The unsigned, tendered contract and any related letter of
transmittal.
(2) The reasons stated by the utility supplier for not executing
the tendered contract, the record of negotiations, and a written
definite and final refusal by a corporate officer or other responsible
official of the supplier (or if unobtainable, documentation of
unwritten refusal).
(3) Services to be furnished and the estimated annual cost.
(4) Historical record of any applicable connection charges.
(5) Historical record of any applicable ongoing capital credits.
(6) A copy of the applicable rate schedule.
(e) If the Government obtains utility service pursuant to paragraph
(c) of this section, the contracting officer shall, on an annual basis
beginning from the date of final refusal, take action to execute a
bilateral written contract. The contracting officer shall document the
utility history file with the efforts made and the agency shall notify
GSA, in writing, if the utility continues to refuse to execute a
bilateral contract.
41.203 GSA assistance.
(a) GSA will, upon request, provide technical and acquisition
assistance, or will delegate its contracting authority for the
furnishing of the services described in this part for any Federal
agency, mixed-ownership Government corporation, the District of
Columbia, the Senate, the House of Representatives, or the Architect of
the Capitol and any activity under the Architect's direction.
(b) Agencies seeking assistance shall provide, upon request by GSA,
the information listed in 41.301.
41.204 GSA areawide contracts.
(a) Purpose. GSA enters into areawide contracts (see 41.101) for
use by Federal agencies. Areawide contracts provide a pre-established
contractual vehicle for ordering utility services under the conditions
in paragraph (c)(1) of this section.
(b) Features. (1) Areawide contracts generally provide for ordering
utility service at rates approved and/or established by a regulatory
body and published in a tariff or rate schedule. However, agencies are
permitted to negotiate other rates and terms and conditions of service
with the supplier (see paragraph (c) of this section). Rates other than
those published may require the approval of the regulatory body.
(2) Areawide contracts are negotiated with utility service
suppliers for the provision of service within the supplier's franchise
territory or service area.
(3) Due to the regulated nature of the utility industry, as well as
statutory restrictions associated with the procurement of electricity
(see 41.201(d)), competition is typically not available within the
entire geographical area covered by an areawide contract, although it
may be available at specific locations within the utility's service
area. When competing suppliers are available, the provisions of
paragraph (c)(1) of this section apply.
(c) Procedures for obtaining service. (1) Any Federal agency having
a requirement for utility services within an area covered by an
areawide contract shall acquire services under that areawide contract
unless--
(i) Service is available from more than one supplier; or
(ii) The head of the contracting activity or designee otherwise
determines that use of the areawide contract is not advantageous to the
Government. If service is available from more than one supplier,
service shall be acquired using competitive acquisition procedures (see
41.202(a)). The determination required by paragraph (c)(1)(ii) of this
section shall be documented in the contract file with an information
copy furnished to GSA at the address in 41.301(a).
(2) Each areawide contract includes an authorization form for
ordering service, connection, disconnection, or change in service. Upon
execution of an authorization by the contracting officer and utility
supplier, the utility supplier is required to furnish services, without
further negotiation, at the current, applicable published or
unpublished rates, unless other rates, and/or terms and conditions are
separately negotiated by the Federal agency with the supplier.
(3) The contracting officer shall execute the Authorization, and
attach it to a Standard Form (SF) 26, Award/Contract, along with any
modifications such as connection charges, special facilities, or
service arrangements. The contracting officer shall also attach any
specific fiscal, operational, and administrative requirements of the
agency, applicable rate schedules, technical information and detailed
maps or drawings of delivery points, details on Government ownership,
maintenance, or repair of facilities, and other information deemed
necessary to fully define the service conditions in the Authorization/
contract.
(d) List of areawide contracts. A list of current GSA areawide
contracts is available from the GSA office specified at 41.301(a). The
list identifies the types of services and the geographic area served. A
copy of the contract may also be obtained from this office.
(e) Notification. Agencies shall provide GSA at the address
specified at 41.301(a) a copy of each SF 26 and executed Authorization
issued under an areawide contract within 30 days after execution.
41.205 Separate contracts.
(a) In the absence of an areawide contract or interagency agreement
(see 41.206), agencies shall acquire utility services by separate
contract subject to this part, and subject to agency contracting
authority.
(b) If an agency enters into a separate contract, the contracting
officer shall document the contract file with the following
information:
(1) The number of available suppliers.
(2) Any special equipment, service reliability, or facility
requirements and related costs.
(3) The utility supplier's rates, connection charges, and
termination liability.
(4) Total estimated contract value (including costs in
subparagraphs (b) (2) and (3) of this subsection).
(5) Any technical or special contract terms required.
(6) Any unusual characteristics of services required.
(7) The utility's wheeling or transportation policy for utility
service.
(c) If requesting GSA assistance with a separate contract, the
requesting agency shall furnish the technical and acquisition data
specified in 41.205(b), 41.301, and such other data as GSA may deem
necessary.
(d) A contract exceeding a 1-year period, but not exceeding ten
years (except pursuant to 41.103), may be justified, and is usually
required, where any of the following circumstances exist:
(1) The Government will obtain lower rates, larger discounts, or
more favorable terms and conditions of service;
(2) A proposed connection charge, termination liability, or any
other facilities charge to be paid by the Federal Government will be
reduced or eliminated; or
(3) The utility service supplier refuses to render the desired
service except under a contract exceeding a 1-year period.
41.206 Interagency agreements.
Agencies shall use interagency agreements (e.g., consolidated
purchase, joint use, or cross-service agreements) when acquiring
utility service or facilities from other Government agencies and shall
comply with the policies and procedures at subpart 17.5, Interagency
Acquisitions under the Economy Act.
Subpart 41.3--Requests for Assistance
41.301 Requirements.
(a) Requests for delegations of GSA contracting authority,
assistance with a proposed contract as provided in 41.203, and the
submission of other information required by this part, shall be sent or
submitted to the General Services Administration (GSA) region in which
service is required. The names and locations of GSA regional offices
are available from the Public Utilities Division (PPU), Public
Buildings Service, Washington, DC 20405.
(b) Requests for contracting assistance for utility services shall
be sent not later than 120 days prior to the date new services are
required to commence an existing contract will expire. Requests for
assistance shall contain the following information:
(1) A technical description or specification of the type, quantity,
and quality of service required, and a delivery schedule.
(2) A copy of any service proposal or proposed contract.
(3) Copies of all current published or unpublished rates of the
utility supplier.
(4) Identification of any unusual factors affecting the
acquisition.
(5) Identification of all available sources or methods of supply,
an analysis of the cost effectiveness of each, and a statement of the
ability of each source to provide the required services, including the
location and a description of each available supplier's facilities at
the nearest point of service, and the cost of providing or obtaining
necessary backup and other ancillary services.
(c) For new utility service requirements, the agency shall furnish
the information in paragraph (a) of this section and the following as
applicable:
(1) The date initial service is required.
(2) For the first 12 months of full service, estimated maximum
demand, monthly consumption, other pertinent information (e.g., demand
side management, load or energy management, peak shaving, on site
generation, load shaping), and annual cost of the service.
(3) Known or estimated time schedule for growth to ultimate
requirements.
(4) Estimated ultimate maximum demand and ultimate monthly
consumption.
(5) A simple schematic diagram or line drawing showing the meter
locations, the location of the new utility facilities to be constructed
on Federal property by the Federal agency, and any required new
connection facilities on either side of the delivery point to be
constructed by the utility supplier to provide the new services.
(6) Accounting and appropriation data to cover the required utility
services and any connection charges required to be paid by the agency
receiving such utility services.
(7) The following data concerning proposed facilities and related
charges or costs:
(i) Proposed refundable or nonrefundable connection charge,
termination liability, or other facilities charge to be paid by the
agency, together with a description of the supplier's proposed
facilities and estimated construction costs, and its rationale for the
charge (e.g., tariff provisions or policies).
(ii) A copy of the acquiring agency's estimate to make its own
connection to the supplier's facilities through use of its own
resources or by separate contract. When feasible, the acquiring agency
shall provide its estimates to construct and operate its own utility
facilities in lieu of participating in a cost-sharing construction
program with the proposed utility supplier.
(d) For existing utility service, the agency shall furnish GSA the
information in paragraph (b) of this section and the following, as
applicable:
(1) A copy of the most recent 12-months' service invoices.
(2) A tabulation, by month, for the most recent 12 months, showing
the actual utility demands, consumption, connection charges, fuel
adjustment charges, and the average monthly cost per unit of
consumption.
(3) An estimate, by month, for the next 12 months, showing the
estimated maximum demands, monthly consumption, other pertinent
information (e.g., demand side management, load or energy management,
peak shaving, on site generation, load shaping), and annual cost of the
service.
(4) Accounting and appropriation data to cover the costs for the
continuation of utility services.
(5) A statement noting whether the transformer, or other system
components, on either side of the delivery point are owned by the
Federal agency or the utility supplier, and if the metering is on the
primary or secondary side of the transformer.
Subpart 41.4--Administration
41.401 Monthly and annual review.
Agencies shall review utility service invoices on a monthly basis
and all utility accounts, with annual values exceeding the small
purchase threshold, on an annual basis. Annual reviews of accounts with
annual values beneath the small purchase dollar threshold shall be
conducted when deemed advantageous to the Government. The purpose of
the monthly review is to ensure the accuracy of utility service
invoices. The purpose of the annual review is to ensure that the
utility supplier is furnishing the services to each facility under the
utility's most economical, applicable rate and to examine competitive
markets for more advantageous service offerings. The annual review
shall be based upon the facility's usage, conditions and
characteristics of service at each individual delivery point for the
most recent 12 months. If a more advantageous rate is appropriate, the
Federal agency shall request the supplier to make such rate change
immediately.
41.402 Rate changes and regulatory intervention.
(a) When a change is proposed to rates or terms and conditions of
service to the Government, the agency shall promptly determine whether
the proposed change is reasonable, justified, and not discriminatory.
(b) If a change is proposed to rates or terms and conditions of
service that may be of interest to other Federal agencies, and
intervention before a regulatory body is considered justified, the
matter shall be referred to GSA. The agency may request from GSA a
delegation of authority for the agency to intervene on behalf of the
consumer interests of the Federal executive agencies (see 41.301).
(c) Pursuant to 52.241-7, Change in Rates or Terms and Conditions
of Service for Regulated Services, if a regulatory body approves a rate
change, any rate change shall be made a part of the contract by
unilateral contract modification or otherwise documented in accordance
with agency procedures. The approved applicable rate shall be effective
on the date determined by the regulatory body and resulting rates and
charges shall be paid promptly to avoid late payment provisions. Copies
of the modification containing the approved rate change shall be sent
to the agency's paying office or office responsible for verifying
billed amounts (see 41.401).
(d) If the utility supplier is not regulated and the rates, terms,
and conditions of service are subject to negotiation pursuant to the
clause at 52.241-8, Change in Rates or Terms and Conditions of Service
for Unregulated Services, any rate change shall be made a part of the
contract by contract modification, with copies sent to the agency's
paying office or office responsible for verifying billed amounts.
Subpart 41.5--Solicitation Provision and Contract Clauses
41.501 Solicitation provision and contract clauses.
(a) Because the terms and conditions under which utility suppliers
furnish service may vary from area to area, the differences may
influence the terms and conditions appropriate to a particular
utility's contracting situation. To accommodate requirements that are
peculiar to the contracting situation, this section prescribes
provisions and clauses on a ``substantially the same as'' basis (see
52.101) which permits the contracting officer to prepare and utilize
variations of the prescribed provision and clauses in accordance with
agency procedures.
(b) The contracting officer shall insert in solicitations for
utility services a provision substantially the same as the provision at
52.241-1, Electric Service Territory Compliance Representation, when
proposals from alternative electric suppliers are sought.
(c) The contracting officer shall insert in solicitations and
contracts for utility services clauses substantially the same as the
clauses at--
(1) 52.241-2, Order of Precedence--Utilities;
(2) 52.241-3, Scope and Duration of Contract;
(3) 52.241-4, Change in Class of Service;
(4) 52.241-5, Contractor's Facilities; and
(5) 52.241-6, Service Provisions.
(d) The contracting officer shall insert clauses substantially the
same as the clauses listed below in solicitations and contracts under
the prescribed conditions--
(1) 52.241-7, Change in Rates or Terms and Conditions of Service
for Regulated Services, when the utility services are subject to a
regulatory body. (Except for GSA areawide contracts, the contracting
officer shall insert in the blank space provided in the clause the name
of the contracting officer. For GSA areawide contracts, the contracting
officer shall insert the following: ``GSA and each areawide customer
with annual billings that exceed $250,000.'')
(2) 52.241-8, Change in Rates or Terms and Conditions of Service
for Unregulated Services, when the utility services are not subject to
a regulatory body.
(3) 52.241-9, Connection Charge, when a refundable connection
charge is required to be paid by the Government to compensate the
contractor for furnishing additional facilities necessary to supply
service. (Use Alternate I to the clause if a nonrefundable charge is to
be paid. When conditions require the incorporation of a nonrecurring,
nonrefundable service charge or a termination liability, see paragraphs
(f) and (i) of this section.)
(4) 52.241-10, Termination Liability, when payment is to be made to
the contractor upon termination of service in conjunction with or in
lieu of a connection charge upon completion of the facilities.
(5) 52.241-11, Multiple Service Locations (as defined in 41.101),
when providing for possible alternative service locations, except under
areawide contracts, is required.
(6) 52.241-12, Nonrefundable, Nonrecurring Service Charge, when the
Government is required to pay a nonrefundable, nonrecurring membership
fee, a charge for initiation of service, or a contribution for the cost
of facilities construction. The Government may provide for inclusion of
such agreed amount or fee as a part of the connection charge, a part of
the initial payment for services, or as periodic payments to fulfill
the Government's obligation.
(7) 52.241-13, Capital Credits, when the Federal Government is a
member of a cooperative and is entitled to capital credits, consistent
with the bylaws and governing documents of the cooperative.
(e) Depending on the conditions that are appropriate for each
acquisition, the contracting officer shall also insert in solicitations
and contracts for utility services the provisions and clauses
prescribed elsewhere in the FAR.
Subpart 41.6--Forms
41.601 Utility services forms.
(a) If acquiring utility services under other than an areawide
contract, a purchase order, or an interagency agreement, the Standard
Form (SF) 33, Solicitation, Offer and Award; SF 26, Award/Contract; or
SF 1447, Solicitation/Contract, shall be used.
(b) The contracting officer shall incorporate the applicable rate
schedule in each contract, purchase order or modification.
Subpart 41.7--Formats
41.701 Formats for utility service specifications.
(a) The following specification formats for use in acquiring
utility services are available from the address specified at 41.301(a)
and may be used and modified at the agency's discretion:
(1) Electric service.
(2) Water service.
(3) Steam service.
(4) Sewage service.
(5) Natural gas service.
(b) Contracting officers may modify the specification format
referenced in paragraph (a) of this section and attach technical items,
details on Government ownership of facilities and maintenance or repair
obligations, maps or drawings of delivery points, and other information
deemed necessary to fully define the service conditions.
(c) The specifications and attachments (see paragraph (b) of this
section) shall be inserted in Section C of the utility service
solicitation and contract.
41.702 Formats for annual utility service review.
(a) Formats for use in conducting annual reviews of the following
utility services are available from the address specified at 41.301(a)
and may be used at the agency's discretion:
(1) Electric service.
(2) Gas service.
(3) Water and sewage service.
(b) Contracting officers may modify the annual utility service
review format as necessary to fully cover the service used.
PART 52 SOLICITATION PROVISIONS AND CONTRACT CLAUSES
52.208-3 [Removed and Reserved]
6. Section 52.208-3 is removed and reserved.
7. Sections 52.241 through 52.241-13 are added to read as follows:
52.241 Utility services provisions and clauses.
52.241-1 Electric service territory compliance representation.
As prescribed in 41.501(b), insert a provision substantially the
same as the following:
Public Law 100-202, Electric Service Territory Compliance
Representation (Feb. 1995)
(a) The Offeror represents as part of its offer that the
Offeror's sale of electricity in accordance with the terms and
conditions of this solicitation is [ ] is not [ ] consistent with
Public Law 100-202, section 8093.
(b) The Offeror's supporting rationale is as follows:
----------------------------------------------------------------------
----------------------------------------------------------------------
----------------------------------------------------------------------
----------------------------------------------------------------------
(End of provision)
52.241-2 Order of precedence-utilities.
As prescribed in 41.501(c)(1), insert a clause substantially the
same as the following:
Order of Precedence-Utilities (Feb. 1995)
In the event of any inconsistency between the terms of this
contract (including the specifications) and any rate schedule,
rider, or exhibit incorporated in this contract by reference or
otherwise, or any of the Contractor's rules and regulations, the
terms of this contract shall control.
(End of clause)
52.241-3 Scope and duration of contract.
As prescribed in 41.501(c)(2), insert a clause substantially the
same as the following:
Scope And Duration of Contract (Feb. 1995)
(a) For the period
, [insert period of service] the Contractor agrees to furnish and the
Government agrees to purchase------------------------------------------
[insert type of service] utility service in accordance with the
applicable tariff(s), rules, and regulations as approved by the
applicable governing regulatory body and as set forth in the
contract.
(b) It is expressly understood that neither the Contractor nor
the Government is under any obligation to continue any service under
the terms and conditions of this contract beyond the expiration
date.
(c) The Contractor shall provide the Government with one
complete set of rates, terms, and conditions of service which are in
effect as of the date of this contract and any subsequently approved
rates.
(d) The Contractor shall be paid at the applicable rate(s) under
the tariff and the Government shall be liable for the minimum
monthly charge, if any, specified in this contract commencing with
the period in which service is initially furnished and continuing
for the term of this contract. Any minimum monthly charge specified
in this contract shall be equitably prorated for the periods in
which commencement and termination of this contract become
effective.
(End of clause)
52.241-4 Change in class of service.
As prescribed in 41.501(c)(3), insert a clause substantially the
same as the following:
Change in Class of Service (Feb. 1995)
(a) In the event of a change in the class of service, such
service shall be provided at the Contractor's lowest available rate
schedule applicable to the class of service furnished.
(b) Where the Contractor does not have on file with the
regulatory body approved rate schedules applicable to services
provided, no clause in this contract shall preclude the parties from
negotiating a rate schedule applicable to the class of service
furnished.
(End of clause)
52.241-5 Contractor's facilities.
As prescribed in 41.501(c)(4), insert a clause substantially the
same as the following:
Contractor's Facilities (Feb. 1995)
(a) The Contractor, at its expense, unless otherwise provided
for in this contract, shall furnish, install, operate, and maintain
all facilities required to furnish service hereunder, and measure
such service at the point of delivery specified in the Service
Specifications. Title to all such facilities shall remain with the
Contractor and the Contractor shall be responsible for loss or
damage to such facilities, except that the Government shall be
responsible to the extent that loss or damage has been caused by the
Government's negligent acts or omissions.
(b) Notwithstanding any terms expressed in this clause, the
Contractor shall obtain approval from the Contracting Officer prior
to any equipment installation, construction, or removal. The
Government hereby grants to the Contractor, free of any rental or
similar charge, but subject to the limitations specified in this
contract, a revocable permit or license to enter the service
location for any proper purpose under this contract. This permit or
license includes use of the site or sites agreed upon by the parties
hereto for the installation, operation, maintenance, and repair of
the facilities of the Contractor required to be located upon
Government premises. All applicable taxes and other charges in
connection therewith, together with all liability of the Contractor
in construction, operation, maintenance and repair of such
facilities, shall be the obligation of the Contractor.
(c) Authorized representatives of the Contractor will be allowed
access to the facilities on Government premises at reasonable times
to perform the obligations of the Contractor regarding such
facilities. It is expressly understood that the Government may limit
or restrict the right of access herein granted in any manner
considered necessary (e.g., national security, public safety).
(d) Unless otherwise specified in this contract, the Contractor
shall, at its expense, remove such facilities and restore Government
premises to their original condition as near as practicable within a
reasonable time after the Government terminates this contract. In
the event such termination of this contract is due to the fault of
the Contractor, such facilities may be retained in place at the
option of the Government for a reasonable time while the Government
attempts to obtain service elsewhere comparable to that provided for
hereunder.
(End of clause)
Sec. 52.241-6 Service provisions.
As prescribed in 41.501(c)(5), insert a clause substantially the
same as the following:
Service Provisions (Feb 1995)
(a) Measurement of service. (1) All service furnished by the
Contractor shall be measured by suitable metering equipment of
standard manufacture, to be furnished, installed, maintained,
repaired, calibrated, and read by the Contractor at its expense.
When more than a single meter is installed at a service location,
the readings thereof may be billed conjunctively, if appropriate. In
the event any meter fails to register (or registers incorrectly) the
service furnished, the parties shall agree upon the length of time
of meter malfunction and the quantity of service delivered during
such period of time. An appropriate adjustment shall be made to the
next invoice for the purpose of correcting such errors. However, any
meter which registers not more than ____ percent slow or fast shall
be deemed correct.
(2) The Contractor shall read all meters at periodic intervals
of approximately 30 days or in accordance with the policy of the
cognizant regulatory body or applicable bylaws. All billings based
on meter readings of less than ____ days shall be prorated
accordingly.
(b) Meter test. (1) The Contractor, at its expense, shall
periodically inspect and test Contractor-installed meters at
intervals not exceeding ____ year(s). The Government has the right
to have representation during the inspection and test.
(2) At the written request of the Contracting Officer, the
Contractor shall make additional tests of any or all such meters in
the presence of Government representatives. The cost of such
additional tests shall be borne by the Government if the percentage
of errors is found to be not more than percent slow or fast.
(3) No meter shall be placed in service or allowed to remain in
service which has an error in registration in excess of ____ percent
under normal operating conditions.
(c) Change in volume or character. Reasonable notice shall be
given by the Contracting Officer to the Contractor regarding any
material changes anticipated in the volume or characteristics of the
utility service required at each location.
(d) Continuity of service and consumption. The Contractor shall
use reasonable diligence to provide a regular and uninterrupted
supply of service at each service location, but shall not be liable
for damages, breach of contract or otherwise, to the Government for
failure, suspension, diminution, or other variations of service
occasioned by or in consequence of any cause beyond the control of
the Contractor, including but not limited to acts of God or of the
public enemy, fires, floods, earthquakes, or other catastrophe,
strikes, or failure or breakdown of transmission or other
facilities. If any such failure, suspension, diminution, or other
variation of service shall aggregate more than ____ hour(s) during
any billing period hereunder, an equitable adjustment shall be made
in the monthly billing specified in this contract (including the
minimum monthly charge).
(End of clause)
52.241-7 Change in rates or terms and conditions of service for
regulated services.
As prescribed in 41.501(d)(1), insert a clause substantially the
same as the following:
Change In Rates or Terms and Conditions of Service for Regulated
Services (Feb 1995)
(a) This clause applies to the extent services furnished under
this contract are subject to regulation by a regulatory body. The
Contractor agrees to give *____________________ written notice of
(1) the filing of an application for change in rates or terms and
conditions of service concurrently with the filing of the
application and (2) any changes pending with the regulatory body as
of the date of contract award. Such notice shall fully describe the
proposed change. If, during the term of this contract, the
regulatory body having jurisdiction approves any changes, the
Contractor shall forward to the Contracting Officer a copy of such
changes within 15 days after the effective date thereof. The
Contractor agrees to continue furnishing service under this contract
in accordance with the amended tariff, and the Government agrees to
pay for such service at the higher or lower rates as of the date
when such rates are made effective.
(b) The Contractor agrees that throughout the life of this
contract the applicable published and unpublished rate schedule(s)
shall not be in excess of the lowest cost published and unpublished
rate schedule(s) available to any other customers of the same class
under similar conditions of use and service.
(c) In the event that the regulatory body promulgates any
regulation concerning matters other than rates which affects this
contract, the Contractor shall immediately provide a copy to the
Contracting Officer. The Government shall not be bound to accept any
new regulation inconsistent with Federal laws or regulations.
(d) Any changes to rates or terms and conditions of service
shall be made a part of this contract by the issuance of a contract
modification unless otherwise specified in the contract. The
effective date of the change shall be the effective date by the
regulatory body. Any factors not governed by the regulatory body
will have an effective date as agreed to by the parties.
(End of clause)
*Note: Insert language prescribed in 41.501(d)(1)
52.241-8 Change in rates or terms and conditions of service for
unregulated services.
As prescribed in 41.501(d)(2), insert a clause substantially the
same as the following:
Change in Rates or Terms and Conditions of Service For Unregulated
Services (Feb 1995)
(a) This clause applies to the extent that services furnished
hereunder are not subject to regulation by a regulatory body.
(b) After ____________________ [insert date], either party may
request a change in rates or terms and conditions of service, unless
otherwise provided in this contract. Both parties agree to enter in
negotiations concerning such changes upon receipt of a written
request detailing the proposed changes and specifying the reasons
for the proposed changes.
(c) The effective date of any change shall be as agreed to by
the parties. The Contractor agrees that throughout the life of this
contract the rates so negotiated will not be in excess of published
and unpublished rates charged to any other customer of the same
class under similar terms and conditions of use and service.
(d) The failure of the parties to agree upon any change after a
reasonable period of time shall be a dispute under the Disputes
clause of this contract.
(e) Any changes to rates, terms, or conditions as a result of
such negotiations shall be made a part of this contract by the
issuance of a contract modification.
(End of clause)
52.241-9 Connection charge.
As prescribed in 41.501(d)(3), insert a clause substantially the
same as the following:
Connection Charge (Feb. 1995)
(a) Charge. In consideration of the Contractor furnishing and
installing at its expense the new connection facilities described
herein, the Government shall pay the Contractor a connection charge.
The payment shall be in the form of progress payments, advance
payments or as a lump sum, as agreed to by the parties and as
permitted by applicable law. The total amount payable shall be
either the estimated cost of $______ less the agreed to salvage
value of $______, or the actual cost less the salvage value,
whichever is less. As a condition precedent to final payment, the
Contractor shall execute a release of any claims against the
Government arising under or by the virtue of such installation.
(b) Ownership, operation, maintenance and repair of new
facilities to be provided. The facilities to be supplied by the
Contractor under this clause, notwithstanding the payment by the
Government of a connection charge, shall be and remain the property
of the Contractor and shall, at all times during the life of this
contract or any renewals thereof, be operated, maintained, and
repaired by the Contractor at its expense. All taxes and other
charges in connection therewith, together with all liability arising
out of the construction, operations, maintenance, or repair of such
facilities, shall be the obligation of the Contractor.
(c) Credits. (1) The Contractor agrees to allow the Government,
on each monthly bill for service furnished under this contract to
the service location, a credit of ________ percent of the amount of
each such bill as rendered until the accumulation of credits shall
equal the amount of such connection charge, provided that the
Contractor may at any time allow a credit up to 100 percent of the
amount of each such bill.
(2) In the event the Contractor, before any termination of this
contract but after completion of the facilities provided for in this
clause, serves any customer other than the Government (regardless of
whether the Government is being served simultaneously,
intermittently, or not at all) by means of these facilities, the
Contractor shall promptly notify the Government in writing. Unless
otherwise agreed by the parties in writing at that time, the
Contractor shall promptly accelerate the credits provided for under
subparagraph (c)(1) of this clause, up to 100 percent of each
monthly bill until there is refunded the amount that reflects the
Government's connection costs for that portion of the facilities
used in serving others.
(3) In the event the Contractor terminates this contract, or
defaults in performance, prior to full credit of any connection
charge paid by the Government, the Contractor shall pay to the
Government an amount equal to the uncredited balance of the
connection charge as of the date of the termination or default.
(d) Termination before completion of facilities. The Government
reserves the right to terminate this contract at any time before
completion of the facilities with respect to which the Government is
to pay a connection charge. In the event the Government exercises
this right, the Contractor shall be paid the cost of any work
accomplished, including direct and indirect costs reasonably
allocable to the completed work prior to the time of termination by
the Government, plus the cost of removal, less the salvage value.
(e) Termination after completion of facilities. In the event the
Government terminates this contract after completion of the
facilities with respect to which the Government has paid a
connection charge, but before the crediting in full by the
Contractor of any connection charge in accordance with the terms of
this contract, the Contractor shall have the following options:
(1) To retain in place for ________ months after the notice of
termination by the Government such facilities on condition that--
(i) If, during such ________ month period, the Contractor serves
any other customer by means of such facilities, the Contractor,
shall, in lieu of allowing credits, pay the Government during such
period installments in like amount, manner, and extent as the credit
provided for under paragraph (c) of this clause before such
termination; and
(ii) Immediately after such ________ month period the Contractor
shall promptly pay in full to the Government the uncredited balance
of the connection charge.
(2) To remove such facilities at the Contractor's own expense
within ________ months after the effective date of the termination
by the Government. If the Contractor elects to remove such
facilities, the Government shall then have the option of purchasing
such facilities at the agreed salvage value set forth herein; and
provided further, that the Contractor shall, at the direction of the
Government, leave in place such facilities located on Government
property which the Government elects to purchase at the agreed
salvage value.
(End of clause)
Alternate I (Nov 1994). If the Contracting Officer determines
that a nonrefundable charge is to be paid and no credits are due the
Government, delete paragraphs (c) and (e), renumber paragraph (d) as
(c) and add the following as paragraph (d):
(d) Termination after completion of facilities. In the event the
Government terminates this contract after completion of the
facilities with respect to which the Government is to pay a
connection charge, the Contractor shall have the following options:
(1) To retain in place for ________ months after the notice of
termination by the Government. If the Contractor and the Government
have not agreed on terms for retention in place beyond ________
months, then the Contractor must remove the facilities pursuant to
the terms of subparagraph (d)(2) of this clause.
(2) To remove such facilities at the Contractor's own expense
within ________ months after the effective date of the termination
by the Government. If the Contractor elects to remove such
facilities, the Government shall then have the option of purchasing
such facilities at the agreed salvage value set forth herein; and
provided further, that the Contractor shall, at the direction of the
Government, leave in place such facilities located on Government
property which the Government elects to purchase at the agreed
salvage value.
52.241-10 Termination liability.
As prescribed in 41.501(d)(4), insert a clause substantially the
same as the following:
Termination Liability (Feb 1995)
(a) If the Government discontinues utility service under this
contract before completion of the facilities cost recovery period
specified in paragraph (b) of this clause, in consideration of the
Contractor furnishing and installing at its expense, the new
facility described herein, the Government shall pay termination
charges, calculated as set forth in this clause.
(b) Facility cost recovery period. The period of time, not
exceeding the term of this contract, during which the net cost of
the new facility, shall be recovered by the Contractor is--
________ months. [Insert negotiated duration.]
(c) Net facility cost. The cost of the new facility, less the
agreed upon salvage value of such facility, is--
$________. [Insert appropriate dollar amount.]
(d) Monthly facility cost recovery rate. The monthly facility
cost recovery rate which the Government shall pay the Contractor
whether or not service is received is--
$________. [Divide the net facility cost in paragraph (c) of
this clause by the facility's cost recovery period in paragraph (b)
of this clause and insert the resultant figure.]
(e) Termination charges. Termination charges = $[Multiply the
remaining months of the facility's cost recovery period specified in
paragraph (b) of this clause by the monthly facility cost recovery
rate in paragraph (d) of this clause and insert the resultant
figure.]
(f) If the Contractor has recovered its capital costs at the
time of termination there will be no termination liability charge.
(End of clause)
52.241-11 Multiple service locations.
As prescribed in 41.501(d)(5), insert a clause substantially the
same as the following:
Multiple Service Locations (Feb 1995)
(a) At any time by written order, the Contracting Officer may
designate any location within the service area of the Contractor at
which utility service shall commence or be discontinued. Any changes
to the service specifications shall be made a part of the contract
by the issuance of a contract modification to include the name and
location of the service, specifying any different rate, the point of
delivery, different service specifications, and any other terms and
conditions.
(b) The applicable monthly charge specified in this contract
shall be equitably prorated from the period in which commencement or
discontinuance of service at any service location designated under
the Service Specifications shall become effective.
(End of clause)
52.241-12 Nonrefundable, nonrecurring service charge.
As prescribed in 41.501(d)(6), insert a clause substantially the
same as the following:
Nonrefundable, Nonrecurring Service Charge (Feb 1995)
As provided herein, the Government will pay a nonrefundable,
nonrecurring charge when the rules and regulations of a Contractor
require that a customer pay (1) a charge for the initiation of
service, (2) a contribution in aid of construction, or (3) a
nonrefundable membership fee. This charge may be in addition to or
in lieu of a connection charge. Therefore, there is hereby added to
the Contractor's schedule a nonrefundable, nonrecurring charge for
________ in the amount of $________ dollars payable [specify dates
or schedules].
(End of clause)
52.241-13 Capital credits.
As prescribed in 41.501(d)(7), insert a clause substantially the
same as the following:
Capital Credits (Feb 1995)
(a) The Government is a member of the ________ [insert
cooperative name], and as any other member, is entitled to capital
credits consistent with the bylaws of the cooperative, which states
the obligation of the Contractor to pay capital credits and which
specifies the method and time of payment.
(b) The Contractor shall furnish to the Contracting Officer, or
the designated representative of the Contracting Officer, in
writing, on an ________ basis [insert period of time] a list of
accrued credits by contract number, year, and delivery point.
(c) Payment of capital credits will be made by check, payable to
the ________ [insert agency name], and forwarded to the Contracting
Officer at ________ [insert agency address], unless otherwise
directed in writing by the Contracting Officer. Checks shall cite
the current or last contract number and indicate whether the check
is partial or final payment for all capital credits accrued.
(End of clause)
[FR Doc. 94-30665 Filed 12-27-94; 8:45 am]
BILLING CODE 6820-34-P
