SPECIAL NOTICE
S -- J&A for Natural Gas Utility Services at Harrison Village Commissary
- Notice Date
- 12/18/2023 7:18:21 AM
- Notice Type
- Justification
- NAICS
- 221210
— Natural Gas Distribution
- Contracting Office
- DEFENSE COMMISSARY AGENCY FORT GREGG ADAMS VA 23801-1800 USA
- ZIP Code
- 23801-1800
- Solicitation Number
- HQC005-24-JA-0001
- Archive Date
- 01/17/2024
- Point of Contact
- Tinitia Gholson, Christina Ellison
- E-Mail Address
-
tinitia.gholson@deca.mil, christina.ellison@deca.mil
(tinitia.gholson@deca.mil, christina.ellison@deca.mil)
- Award Number
- HQC005-24-C-0003
- Award Date
- 09/01/2024
- Description
- 1. Contracting Office � Defense Commissary Agency, CCQE (Enterprise) Division, 1300�Eisenhower Ave, Fort Gregg-Adams, VA 23801 2. Type of Contract Action � The type of action contemplated is a new utility contract, rates�will be in accordance with rates regulated under the Indiana Utility Regulators Commission per�Title 170 of the Indiana Administrative Code, an indefinite quantity, which will fluctuate�depending on actual usage. This effort will utilize DWCF funding. 3. Description of Supplies/Services �This action is for natural gas utility services for the�Harrison Village Commissary, Indiana. 4. Authority Cited - The statutory authority permitting other than full and open competition that�is applicable to this Justification and Approval (J&A) is 10 U.S.C. 3204(a)(1), Only one�responsible source and no other supplies or services will satisfy agency requirements as�implemented by FAR 6.302-1(b)(3). 5. Reason for Authority Cited � The State of Indiana, under the Indiana Utility Regulatory�Commission, regulates natural gas utility companies within the state borders. Natural gas utility�in the State of Indiana have service territories and are only permitted to provide service in their�service territory. The Harrison Village Area, within Marion County (Indianapolis), is serviced by�Citizens Energy group and this natural gas utility is the only source available to provide these�services, as indicated by the State of Indiana Code. 6. Efforts to Obtain Competition � There is no competition for this service; as indicated in�Paragraph 5, there is only one possible natural gas utility service provider in the Harrison Village�Commissary area, Citizens Energy Group, as authorized by the State of Indiana. 7. Fair and Reasonable Cost Determination � This contract action will be fair and reasonable�based on regulations established by the Indiana Utility Regulatory Commission under Title 170�of the Indiana Administrative Code; and in accordance with DFARS 241.201(3) which states��Rates established by an independent regulatory body � (iii) are a valid basis on which prices can be determined fair and reasonable�.� 8. Market Research � The GSA Areawide Public Utility contract listing does not include a�natural gas contract for this area. There are Air Force contracts for natural gas supply, however�none for the Harrison Village area; therefore, an interagency contract is not possible. The State�of Indiana Code 8-1-2-1 �Utility Regulation; Definitions�, states; �Utility� as used in this chapter�means every plant or equipment within the state used for: (2) the production, transmission,�delivery, or furnishing of heat, light water, or power, either directly or indirectly to the�public��. The State of Indiana allows third party suppliers for the natural gas supply only,�transportation is provided by the utility in that service area. Competing the natural gas supply is�not a viable decision due to (1) the third party supplier of natural gas is not subject to regulation�by the Indiana Utility Regulatory Commission; (2) using a third party supplier for natural gas�itself will require two contracts, one with Citizens Energy Group as the utility provider�(transportation and meter readings) and one with the third party supplier for the natural gas; and�(3) the utility, Citizens Energy Group, assesses additional administrative fees to the third party�suppliers, which are generally passed along to their consumers. The State of Indiana has the�Norther Indiana Public Service Company�s (NIPSCO) Choice Program, which allows customers�in northern Indiana to choose from third party suppliers. However, the Harrison Village�commissary is not within that service area and the Indiana Office of Utility Consumer Counselor�NIPSCO fact sheet warns consumers that this is not a cost savings service and there is no�guarantee of lower bills. Due to these issues, Citizens Energy Group is the only utility able to�provide this service and is regulated by the State of Indiana. 9. Actions to Increase/Foster Competition � As stated under Paragraph 5, only one utility company can service an existing service territory. Therefore, Indiana State law prohibits competition for this service. 10. Other Factors � N/A
- Web Link
-
SAM.gov Permalink
(https://sam.gov/opp/ae46e35542a146d58632b2de1d7a927e/view)
- Place of Performance
- Address: Indianapolis, IN 46216, USA
- Zip Code: 46216
- Country: USA
- Zip Code: 46216
- Record
- SN06915176-F 20231220/231218230038 (samdaily.us)
- Source
-
SAM.gov Link to This Notice
(may not be valid after Archive Date)
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