[Code of Federal Regulations]

[Title 48, Volume 1]

[Revised as of October 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 48CFR41.202]



[Page 775-776]

 

            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM

 

                CHAPTER 1--FEDERAL ACQUISITION REGULATION

 

PART 41_ACQUISITION OF UTILITY SERVICES--Table of Contents

 

                 Subpart 41.2_Acquiring Utility Services

 

Sec. 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.



[[Page 776]]



    (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 13.302; 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.



[59 FR 67018, Dec. 28, 1994, as amended at 62 FR 64926, Dec. 9, 1997]