MURIEL BOWSER
MAYOR
June 29, 2020
The Honorable Phil Mendelson
Chairman
Council of the District of Columbia
John A. Wilson Building
1350 Pennsylvania Avenue, N.W. Suite 504
Washington, DC 20001
Reference: District of Columbia Department of General Services
Electric Supply Services Agreement DCAM-20-NC-CA-0006 under
Baltimore Regional Cooperative Purchasing Committee
Cooperative Purchase Agreement Contract Number P-146 with
WGL Energy Services, Inc.
Dear Chairman Mendelson:
Pursuant to D.C. Official Code 1-204.51(b), the Department of General Services (the
"Department") hereby submits to the Council of the District of Columbia for its review and
passive approval the attached Electricity Supply Services Agreement (the Contract)
under Baltimore Regional Cooperative Purchasing Committee Cooperative Purchase
Agreement Contract Number P-146, (the Baltimore Regional Cooperative Purchasing
Committee) with WGL Energy Services, Inc. (the Contractor).
As the agency charged with real estate management functions for various District government
client agencies, the Department purchases the utilities for buildings within the real estate
portfolio DGS is charged with managing. DGS currently has approximately 800 metered
electric accounts. These accounts range in size from large special-use facilities with multi-
megawatt demands, to parks with exterior lights, to small office-like centers. In total, the
collective electricity consumption is approximately 400,000 Megawatt hours per year, and
the facilities have a combined electrical peak demandofapproximately 75 Megawatts.
Given the alternate green power sources identified above, the Department requires a contract
structure that is not a requirements contract and that will allow for the purchaseofelectricity
to supplement the wind and solar power sources. The subject Contract would require WGL
to work with DGS as it manages its electricity needs. It is expected that the Department will
use a block and index approach coordinated with the renewable energy source to satisfy
the electricity needs not met through the alternate sources. Through this approach, a portion
of the remaining electricity needs will be met through a fixed block purchase while the
balance will be purchased based on market index rates as needed. WGL will be required to
solicit quotes for blocks of electricity, to purchase the blocks of electricity, and to also
purchase electricity on index prices in order to provide all electricity needed that is not
provided by the renewable sources
The proposed Contract would require WGL to provide the Districts electricity supply
services requirements for a period from Date of Award through one year thereafter. The not-
to-exceed valueofthe proposed Contract is Twenty-Three Million ($23,000,000); therefore,
DGS is seeking Council's approval for this action.
In addition to the proposed partially executed Contract, attached are: (i) a contract summary;
(ii) a fiscal certification; (iii) a memorandum and certificationoflegal sufficiency; and (iv) a
Clean Hands certification for the Contractor.
Ifyou have any questions regarding this proposed action, please feel free to contact Keith A.
Anderson, the Department's Director, or George G. Lewis, the Department's Chief of
Contracts and Procurement, at (202) 727-2800.
Sincerely,
Muriel Boyser
Enclosures
GOVERNMENT OF THE DISTRICT OF COLUMBIA
DEPARTMENT OF GENERAL SERVICES
Pursuant to section 202(c) of the Procurement Practices Reform Act of 2010, as amended, D.C.
Official Code 2-352.02(c), the following contract summary is provided:
COUNCIL CONTRACT SUMMARY
(Standard and multiyear)
Electric Supply Services Agreement
(A) Contract Number: DCAM-20-NC-CA-0006
Proposed Contractor: WGL Energy Services, Inc. (WGL)
Contract Amount: Not-to-Exceed (NTE): $23,000,000.00
(includes a management fee of fifty-five cents
($0.55) per megawatt hour of electricity settled in the
dedicated DGS subaccount)
Unit and Method of Compensation: Progress payments on a monthly basis
Term of Contract: Date of award through one year thereafter
Type of Contract: Fixed Unit Price with NTE
Source Selection Method: Cooperative Agreement under the Baltimore
Regional Cooperative Purchasing Committee
Contract Number P-146
(B) For a contract containing option periods, the contract amount for the base period and for
each option period. If the contract amount for one or more of the option periods differs
from the amount for the base period, provide an explanation of the reason for the
difference:
Base Period Current Not-to-Exceed Amount: $23,000,000.00
(C) The goods or services to be provided, the methods of delivering goods or services, and any
significant program changes reflected in the proposed contract:
As the agency charged with real estate management functions for various District government
client agencies, the Department purchases the utilities for buildings within the real estate portfolio
DGS is charged with managing. DGS currently has approximately 875 metered electric accounts.
These accounts range in size from large special-use facilities with multi-megawatt demands, to
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parks with exterior lights, to small office-like centers. In total, the collective electricity
consumption is approximately 480,000 Megawatt hours per year, and the facilities have a
combined electrical peak demand of approximately 95 Megawatts.
In its work to reduce the Districts carbon footprint and implement environmentally sustainable
practices, the Department receives power from a wind farm location in Pennsylvania. The wind
farm generates on an annual basis power that covers approximately 25% to 30% of the
Departments needs. The Department also receives power from on-site solar photovoltaic systems
that generate approximately 3.0% of the Departments power needs on an annual basis.
Given the alternate green power sources identified above, the Department requires a contract
structure that is not a requirements contract and that will allow for the purchase of electricity to
supplement the wind and solar power sources. The subject Contract would require WGL to work
with DGS as it manages its electricity needs. It is expected that the Department will use a block
and index approach coordinated with the renewable energy source to satisfy the electricity needs
not met through the alternate sources. Through this approach, a portion of the remaining electricity
needs will be met through a fixed block purchase while the balance will be purchased based on
market index rates as needed. WGL will be required to solicit quotes for blocks of electricity, to
purchase the blocks of electricity, and to also purchase electricity on index prices in order to
provide all electricity needed that is not provided by the renewable sources.
Specific Services Required:
If approved, the Contract would require WGL to work with the Department as the Department
actively manages its electricity needs. WGL would be required to establish a dedicated PJM
subaccount through which to manage all enrolled DGS retail electric accounts, to purchase
electricity (both block purchases and index purchases) for use by the subaccount, and to receive
third-party deliveries to which DGS may commit.
(D) The selection process, including the number of offerors, the evaluation criteria, and the
evaluation results, including price, technical or quality, and past performance components:
Subject to the terms and conditions of the Baltimore Regional Cooperative Purchasing Committee,
pursuant to Request for Proposal (RFP) P-146, and in accordance with the Authority for
Cooperative Agreements Source Selection found under D.C. Code Section 2-354.01, the DGS
Chief Contracting Officer (CCO) authorized the purchase of electricity supply services through a
Cooperative Purchasing pursuant to D.C. Code Section 2-354.11.
(E) A description of any bid protest related to the award of the contract, including whether the
protest was resolved through litigation, withdrawal of the protest by the protestor, or
voluntary corrective action by the District. Include the identity of the protestor, the
grounds alleged in the protest, and any deficiencies identified by the District as a result of
the protest:
The Contract award was not protested.
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(F) The background and qualifications of the proposed contractor, including its organization,
financial stability, personnel, and performance on past or current government or private
sector contracts with requirements similar to those of the proposed contract:
WGL Energy Services, Inc. supplies electricity, natural gas, renewable energy, carbon reduction,
distributed generation, and energy efficiency solutions. It serves residential, government,
commercial, and industrial customers in the United States. WGL Energy Services, Inc. was
formerly known as Washington Gas Energy Services, Inc. The company was founded in 1996 and
is based in Vienna, Virginia. WGL Energy Services, Inc. operates as a subsidiary of Washington
Gas Resources Corp. The Contractor has been determined responsible in accordance with 27
DCMR 4706.1
(G) A summary of the subcontracting plan required under section 2346 of the Small, Local,
and Disadvantaged Business Enterprise Development and Assistance Act of 2005, as
amended, D.C. Official Code 2-218.01 et seq. (Act), including a certification that the
subcontracting plan meets the minimum requirements of the Act and the dollar volume of
the portion of the contract to be subcontracted, expressed both in total dollars and as a
percentage of the total contract amount:
N/A
(H) Performance standards and the expected outcome of the proposed contract:
The Contract is a full requirements contract and requires WGL to provide electric supply
services for the Departments purchase Date of award through one year thereafter at the established
unit rate.
(I) The amount and date of any expenditure of funds by the District pursuant to the contract
prior to its submission to the Council for approval:
N/A.
(J) A certification that the proposed contract is within the appropriated budget authority for
the agency for the fiscal year and is consistent with the financial plan and budget adopted
in accordance with D.C. Official Code 47-392.01 and 47-392.02:
The proposed Contract is within the appropriated budget authority for the agency for the fiscal
year and is consistent with the financial plan and budget adopted in accordance with D.C. Official
Code 47-392.01 and 47-392.02. The relevant Fiscal Sufficiency certification accompanies this
Council Package.
(K) A certification that the contract is legally sufficient, including whether the proposed
contractor has any pending legal claims against the District:
The proposed Contract has been deemed legally sufficient by the Departments Office of the
General Counsel, and the Contractor appears to have no pending legal claims against the District.
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(L) A certification that Citywide Clean Hands database indicates that the proposed contractor
is current with its District taxes. If the Citywide Clean Hands Database indicates that the
proposed contractor is not current with its District taxes, either: (1) a certification that the
contractor has worked out and is current with a payment schedule approved by the District;
or (2) a certification that the contractor will be current with its District taxes after the District
recovers any outstanding debt as provided under D.C. Official Code 2-353.01(b):
The Citywide Clean Hands database indicates that the Contractor is current with its District taxes.
The Clean Hands certification for the Contractor accompanies this Council Package.
(M) A certification from the proposed contractor that it is current with its federal taxes, or has
worked out and is current with a payment schedule approved by the federal government:
The Contractor has certified that it is current with its federal taxes.
(N) The status of the proposed contractor as a certified local, small, or disadvantaged business
enterprise as defined in the Small, Local, and Disadvantaged Business Enterprise
Development and Assistance Act of 2005, as amended, D.C. Official Code 2-218.01 et seq.:
WGL is not a certified Local, Small, or Disadvantaged Business Enterprise certified by the
Districts Department of Small and Local Business Development (DSLBD).
(O) Other aspects of the proposed contract that the Chief Procurement Officer considers
significant:
N/A.
(P) A statement indicating whether the proposed contractor is currently debarred from
providing services or goods to the District or federal government, the dates of the
debarment, and the reasons for debarment:
The Contractor is not debarred from providing services to the Government of the District of
Columbia or the Federal Government according to the Office of Contracts and Procurements
Excluded Parties List and the Federal Governments Excluded Parties List.
(Q) Any determination and findings issues relating to the contracts formation, including any
determination and findings made under D.C. Official Code 2-352.05 (privatization
contracts):
The Chief Contracting Officer determined that the Contractor is responsible and that the
Contractors proposed pricing is fair and reasonable based on the competitive procurement process
administered by the Baltimore County, Maryland; the District is entering into a Cooperative
Agreement.
(R) Where the contract, and any amendments or modifications, if executed, will be made
available online:
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The Contract, if approved, will be posted on the DGS website.
(S) Where the original solicitation, and any amendments or modifications, will be made
available online:
Subject to the terms and conditions of the Baltimore Regional Cooperative Purchasing Committee,
pursuant to Request for Proposal (RFP) No. P-146 and in accordance with the Authority for
Cooperative Agreements Source Selection found under D.C. Code Section 2-354.01, the DGS
Chief Contracting Officer (CCO) authorized the purchase of electric supply services through a
Cooperative Purchasing pursuant to D.C. Code Section 2-354.11. The DGS Awarded Agreement
with WGL Energy Services, Inc. and all subsequent modifications will be posted on the DGS
Contract Award website.
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Government of the District of Columbia
Office of the Chief Financial Officer 1101 4th Street, SW
Office of Tax and Revenue Washington, DC 20024
Date of Notice: April 24, 2020 Notice Number: L0004099192
WGL ENERGY SERVICES, INC. FEIN: **-***2887
1000 MAINE AVE SW Case ID: 444768
WASHINGTON DC 20024
CERTIFICATE OF CLEAN HANDS
As reported in the Clean Hands system, the above referenced individual/entity has no outstanding
liability with the District of Columbia Office of Tax and Revenue or the Department of Employment
Services. As of the date above, the individual/entity has complied with DC Code 47-2862, therefore
this Certificate of Clean Hands is issued.
TITLE 47. TAXATION, LICENSING, PERMITS, ASSESSMENTS, AND FEES
CHAPTER 28 GENERAL LICENSE
SUBCHAPTER II. CLEAN HANDS BEFORE RECEIVING A LICENSE OR PERMIT
D.C. CODE 47-2862 (2006)
47-2862 PROHIBITION AGAINST ISSUANCE OF LICENSE OR PERMIT
Authorized By Marc Aronin
Chief, Collection Division
To validate this certificate, please visit MyTax.DC.gov. On the MyTax homepage, click Clean Hands
and then the Validate a Certificate of Clean Hands hyperlink.
1101 4th Street SW, Suite W270, Washington, DC 20024/Phone: (202) 724-5045/MyTax.DC.gov
GOVERNMENT OF THE DISTRICT OF COLUMBIA
DEPARTMENT OF GENERAL SERVICES
Contracts & Procurement
Memorandum
To: Keith Anderson
Director
From: Antoinette Beckham-Hudson, MBA
Agency Fiscal Officer
Reference: Electric Supply Services
Contract Baltimore Regional Cooperative Purchasing Committee (BRCPC)
Date: April 23, 2020
Subject: Fiscal Sufficiency Review
The proposed Contract for Electric Supply Services with WGL Energy Services, Inc. (WGL)
with a value of $23,000,000.00 spans FY 2020 and FY 2021, covering the period beginning, date
of award through one year thereafter. Currently, the FY 2020 budget is sufficient to support the
estimated amount of $7,802,378.10. The remaining amount of $15,197,621.90 will be funded in
the FY 2021 budget, which is currently under review by the Council.
The $23,000,00.00 is funded as follows: Local - $12,755,319.49; O-Type - $48,972.86;
Intra District - $10,195,707.65.
This contracts NTE value of $23,000,000.00 with WGL Energy Services, Inc. is the same as the
last contract modification. WGL Energy Services, Inc. remains the major electricity supplier for
the District.
Antoinette Hudson- Beckham, MBA
Agency Fiscal Officer
Department of General Services
2000 14th St. NW, 8th Floor, Washington DC 20009 | Telephone (202) 727-2800 | Fax (202) 727-7283
GOVERNMENT OF THE DISTRICT OF COLUMBIA
DEPARTMENT OF GENERAL SERVICES
OFFICE OF THE GENERAL COUNSEL
MEMORANDUM
TO: Ronan Gulstone
Director, Office of Policy and Legislative Affairs
FROM: Xavier Beltran
General Counsel, Department of General Services
SUBJECT: Legal Sufficiency Certification
Electricity Supply Services Agreement under Baltimore Regional Cooperative
Purchasing Committee Request for Proposal No. P-146