FAC Number: FAC 2022-07
Effective Date: 08/10/2022

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 paragraphs (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 tenyears (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;

           (3) The utility service supplier refuses to render the desired service except under a contract exceeding a 1-year period.

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