HomeMy WebLinkAboutAward Proposal - City of SB Natural Gas Supply - Interstate Gas Supply, Inc.1316 COUNTY -CITY BuILDING
227 W. JEFFERSON BOULLVARD
SOITH � BEND. INDIANA 46601-1830
CITY OF Souni BEND PFTE BUTTIGIEG, MAY,
BOARD OF PUBLIC'' WORKS
May 22, 2018
Thomas Payne
Interstate Gas Supply, Inc
6 100 Emerald Parkway
Dublin, OTJ 46016
RE: Proposal Award — City of South Bend Natural Gas Supply
Dear Mr, Payne:
Jliiom574/235-9251
FAX 574/ 235-9171
The Board of Public Works at its meeting held on May 27, 2018, awarded the above
referenced proposal to you based on the recommendation of the review committee as the
highest scoring proposal, and authorized the review team to negotiate a contract with your
company.
A representative from the Sustainability Department will be in contact with you regarding this
award.
If you have any ftirther questions regarding this matter, please call this office at (574) 235-
9251.
Sincerely,
Linda M. Martin, Clerk
c: Adam Parson, Sustainability
GARY A, Gji.,o'r SUZANNA M. FRITZBERc, Et..iZABE]"i-i A. MARADIK JAMI,s A. MUELLER TifERESE J. DoR-Au
10
1-111101-IT,
TIli is +r7AJXIIIIXI]kyi1
111) kyj 601 W 9 Kol: V
Linda M. Martin, Clerk
Board of Public Works
Adam Parsons
Director of Facilities Managme,ent
Bid Award — Natural Gas Supply
Project No. 17-019
DATE: May 21, 2018
Uwpu
On May 8, 20188 the Board of Public Works opened and read bids for the above project.
All bid responses were found to be complete.
The proposals were scored as follows:
Qualifications of Firm
Weight
Points
Allowed
IGS
Constellation
Experience
20%
20
20
20
References
10%
10
10
8
History
5%
5
5
5
Financial Stability
5%
5
5
5
Ability to
Meet Requirement
Variable Supply (NYMEX)
20%
20
20
15
Fixed Supply (Hedged Contracts)
20%
20
20
20
Price
20%
20
19
20
Total
1-009/0
1601
99
93
I recommend award of contract for the Natural Gas Supply project to the highest scoring bidder,
IGS Energy.
Note: IGS had a slight cost premium in our baseline calculations. However, their supply
structure allows for more flexibility in changing markets than Constellation provides.
The funds have been appropriated through various departmental utility budgets.
Please call if you have any questions (9302).
Page 1 of 1
The City of South Bend May 7 2018
Board of Public Works
1316 County -City Building
227 West Jefferson Blvd
South Bend, IN 46601
RE: Natural Gas Supply
IGS Energy ("IGS") is pleased to provide the following natural gas supply proposal for the City
of South Bend.
IGS is proud to serve some of our country's largest institutions, with the most reliable and
lowest cost natural gas and electric supplies as a trusted energy partner for over 28 years, to include
The City of South Bend for over 5 years. IGS ranks as a top-20 retail energy supplier in the United
States.
IGS is confident that we are uniquely suited and the most qualified supplier participating within
the NIPSCO Choice Program to proactively manage your gas supply needs to ensure the best
opportunity to procure the most competitive natural gas rates. We are pleased to depict our
confidence and qualifications throughout this document.
Our dedicated team from our Supply Group and Commercial & Industrial Sales has over 80
years of experience within the industry including 64 years of experience trading, scheduling and
managing all supply related components of the NIPSCO Choice market, Our goal is to continue
working together to manage The City of South Bend's gas supply accounts within the NIPSCO
service territory. Over my personal career, I have had vast experience working with an array of
institutions, and businesses both on the regulated utility and retail sides of the energy business. I
look forward to continuing our partnership as the gas supplier for The City of South Bend account.
If you have questions regarding any of the information in our response, please do not hesitate to
contact me. Thank you very much for your time and consideration,
Respeof fully,
Thomas Payne/ a//V
Director of Sales
IGS Energy
Page (2
Gas Supply Proposal
for
The City of South Bend
A. Natural Gas Usage
1. IGS has created a natural gas usage profile for The City of South Bend, to include the
historical usage for each meter currently served. We will also continue to add to the
usage profile by garnering the meter read data from NIPSCO. Because the majority of
the City's usage is based upon weather and temperature, IGS normalizes the usage using
an algorithm that assist in forecasting usage ensuring the most proficient management of
the gas supply.
2. IGS does not and will not hold The City of South Bend to a certain usage requirement.
Regardless of weather and temperature, IGS is responsible for the risk of the usage being
higher or lower than what is hedged and/or estimated
3. IGS pricing is a burner tip price and includes margin, basis, line loss, overhead, taxes,
pooling, and balancing fees. There are no additional fees associated with procuring the
natural gas supply through IGS to include fees associated with daily or monthly
imbalances.
B. Supplier Experience and References
1. Interstate Gas Supply, Inc. d/b/a IGS Energy ("IGS") is pleased to provide The City of
South Bend, Inc. the following overview of our qualifications to continue to serve as a
trusted partner to The City of South Bend.
IGS, a privately held Ohio S corporation, is one of America's largest independent retail
suppliers of natural gas and electricity. The company was founded in 1989 by Marvin
White and Scott White. Prior to founding IGS, Marvin White spent forty years with
Columbia Distribution Companies, including nine years as President and CEO. Marvin
was also instrumental in implementing the very first deregulated natural gas
transportation program in the United States. Scott White is currently the President and
CEO of the Company with Doug Austin, a member of the IGS family for more than 20
years, serving as the Executive Vice President who oversees all Commercial and
Industrial business.
IGS Energy currently supplies more than 1,000,000 customers, serving residential,
commercial, and industrial customers. IGS Energy has a broad portfolio of energy
products and service offerings beyond our core natural gas and electric supply business
through our IGS Solar (recent projects include work with Amazon and Cardinal Health),
IGS Compressed Natural Gas (CNG) (recent partnerships include Speedway and Duchess
Shops) and Generation (Combined Heat and Power) divisions.
IGS is very proud of our track record of customer service and reliability. Just one year
ago IGS was awarded the #1 Energy Supplier in the State of Ohio by J.D. Power and
6100 Emerald Parkway, Dublin, OH 43016 1 p &77-923-4447 I f 614-659-5125 I IGSENERGY.COM
Page 13
Associates. In our 28 years of business IGS has never declared force majeure and
has never failed to deliver 100% of all of our customer's requirements at the
customer's agreed upon contract rate. May, 2018, IGS Energy was again named
Columbus CEO Magazine's Top Workplace in 2018 in the Large Employer category.
This a just another great testament to our vision, mission, beliefs and culture as a
business.
In addition to continued investment to innovate and grow, our dedication and long-term
commitment to the environment and economy can also be seen at our LEED Platinum
Ohio headquarters, constructed in 2010. We would invite The City of South Bend
personnel to tour our facilities and meet the key individuals from IGS who will be
responsible for managing your accounts and exceeding your expectations at any point.
2. Experience Working with the NIPSCO Choice Program
IGS worked with NIPSCO to create the framework for the NIPSCO Choice Program and
has been an active supplier since its inception. IGS is the largest Choice suppliers on the
NIPSCO system delivering average of 15,300 Dth daily and over 5,550,000 Dth of
natural gas annually (to include a peak day of 42,047 Dth) to around 14,000 customers.
3. Key Personnel
Thomas Payne, Director of Sales
Thomas Payne is the primary contact assigned to The City of South Bend. Thomas is
responsible for IGS Energy's customers within Indiana and Michigan including but not
limited to government entities, school systems, commercial, and industrial customers. In
his role, Thomas manages relationships with some of IGS' most sophisticated customers
and focuses on the development of custom-tailored procurement solutions to meet
budgetary and risk tolerance needs.
Thomas has spent the last S years developing in his current role and has a customer
retention rate of over 98%. Thomas has over 11 years of experience with NIPSCO to
include 4.5 years as the Manager of the NIPSCO Choice program. He was instrumental
in creating the current operational structure of the NIPSCO Choice program to include
crafting some of the existing tariff language filed with the IURC.
Scott Arthur, Vice President of Commercial Industrial Sales
Scott Arthur is the Vice President of Commercial Industrial Sales at IGS Energy. Scott
was one of the first 20 employees at IGS with nearly 21 years of experience in sales at
IGS. Upon graduating from Miami University (Ohio), Scott started as one of IGS's first
sales reps and has grown into his role as VP. Currently, Scott oversees the entire
Commercial Industrial Outside Sales team, consisting of 40+ employees across multiple
states. As a resource, Scott is able to make unique business decisions throughout the
process of procurement and signs off on all C&I agreements.
6100 Emerald Parkway, Dublin, OH 43016 1 p 577-923-4447 I f 614-659-5125 j IGSENERGY.COM
Page 14
Yoni Zofan, Director of C&I Products and Analytics
Yoni Zofan is our Director of C&I Products, Analytics and Consortiums. Yoni is
responsible for the management of all aspects of our C&I Sales Support team, Products
and Aggregation programs at IGS Energy. His responsibilities also include management
of all commercial and industrial customer consortiums at IGS and ownership of our cost
models for both electricity and natural gas. He has more than 14 years of energy
experience with IGS, serving in various risk management and managerial responsibilities
throughout his time. Yoni graduated cum laude with a Bachelor of Science from Indiana
University in 2004 and is married with two boys.
Michael Swary, Senior C&I Sales Analyst
Michael has 7 years of experience working for Choice suppliers in the NIPSCO service
territory including, but not limited to, roles in natural gas scheduling, operations, and
sales support. Over that same time and through those various roles, Michael has directly
supported The City of South Bend accounts and the relationship with the City by
providing consumption reports and analysis on a requested basis.
Dan Dishno, Vice President of Supply
Dan has over 16 years of energy experience. He currently leads and directs strategy for
the entire Supply, Operations, and Risk department for IGS Energy. He worked for
NIPSCO for 3 years managing natural gas procurement and strategy for the utility. He
also had an integral role in helping direct the NIPSCO Choice program restructuring in
2010. He has over 10 years of trading experience in the northern Indiana region;
including NYMEX, financial basis, and physical gas trading.
Joe Miller, Market Specialist Lead
Joe has over 10 years of energy experience and has traded or scheduled gas for every
major market in the Midwest. He is our lead trader for the NIPSCO market and has
managed our pool of customers since 2015, He trades NYMEX, financial basis, and
physical gas.
4. Primary Contact Information
Thomas A. Payne
Director of Sales
Tom.Payne@igs.com
(0) 574-314-9075
(M) 574-315-4870
(F)877-245-1083
6100 Emerald Parkway, Dublin, OH 43016 1 p 577-923-4447 1 f 614-659-5125 1 IGSENERGY.CAM
Page 15
5. References
Mr. Gary Hosmer, Edward Rose & Sons
269-323-9484
Customer since 2009
Annual Volume: 259,000 dth
Mr. Tom Byers, Elkhart County
574-534-3541
Customer since 2009
Annual Volume: 38,818 dth
Mr. Phil Geise Jayco RV
574-825-5861
Customer since 2007
Annual Volume 100,010 dth
Mr. Brian Davidson Saint Joseph County
574-235-9655
Customer Since 2009
Annual Volume 46,355 dth
C. Supplier History and Stability
1. IGS has provided a written affidavit certifying to the IURC and, simultaneously, a copy
to the Utility, that it has adequate firm supplies under contract to meet its customer
aggregate firm daily demand and firm annual demand.
2. IGS had been in business for more than 28 years and have participated in the NIPSCO
Choice Program since 2004. Please find included in this proposal the most recent
Consolidated Balance Sheets as of June 30, 2017 and 2016.
D. Pricing
1. Hedged/Fixed Price:
a.The fixed/hedged gas commodity price per DTH is determined by multiplying
the hedged volume by the weighted average hedged price plus the fixed adder.
b.IGS offers single billing through the utility. Utility billing includes full
requirements which features a single commodity price each month for all units
consumed regardless of contracted monthly volume. The gas commodity price
per DTH is determined by multiplying the fixed/hedgcd volume by the
weighted average fixed/hedged price plus the variable volume {estimated
6100 Emerald Parkway, Dublin, OH 43016 € p 877-923-4447 [ f 614-659-5125 I iGSENERGY.COM
Page 16
volume not hedged) multiplied by the Monthly NYMEX Settlement price plus
the fixed adder.
2, Non-hedged/fixed price
a,All volumes used beyond what is fixed/hedged will be sold at the variable
rate based upon the NYMEX monthly settlement, established on the last
trading day of the month prior to the delivery month, plus the fixed adder of
$0.00 per dth.
b.If the City fixes a price for 100% of its projected volume, all actual volumes
shall be billed at the fixed/hedged price plus the fixed adder regardless if the
actual volumes used are less or more than the volumes that has been
fixed/hedged.
3. Fixed price adder for 24, 36, and 48 months:
IGS Energy pricing for The City of
South Bend
Date' ; 5/7/2D18
Utility' NIPSCO
77��]
Term:'
BT DTH
Eixed Price
Unit of
iVlonths
Start
End
Volume
Offer
1lariaple Offer
Measure
24
Sep-18
Aug-20
202,600
No Offer
ACAP-NYMEX+$0.090
BT DTH
36
Sep-18
Aug-21
303,900
No Offer
ACAP-NYMEX+ $0.090
BT DTH
48
Sep-18
Aug-22
405,200
No Offer
ACAP-NYMEX+ $0.090 1
BT DTH
4. The Interstate Transportation change shall be fixed at a rate of $0.79 per dth for all of the
natural gas terms listed above
5. The only fees associated with the procurement of natural gas for the City will be the
procurement of natural gas (via either weighted average hedged price and/or the NYMEX
monthly settlement price), the fixed adder, and the Interstate Transportation and Storage
charge. The total price includes basis, line loss, overhead, pooling and/or balancing fees,
and the Company's margin.
E. Swing
1. All pricing is based upon 100% swing full requirement contract.
6100 Emerald Parkway, Dublin, OH 43016 1 p 877-923-4447 l f 614-659-5125 I IGSENERGY.COM
Page (7
F. Procurement
IGS Energy works hard for our commercial and industrial customers in creating and
implementing a procurement strategy that best fits their individual business objectives.
We understand that the procurement of natural gas is not a "one size fits all" approach
and procurement strategies need to be reviewed on an on -going basis due to the volatility
of the natural gas market as well as an ever -changing business climate. We have been
managing the gas supply for many commercial, industrial, and municipal customers
within the NIPSCO service territory since 2009, to include The City of South Bend since
2012.
The IGS representative will continue to be proactive in setting up face-to-face meetings
or conference calls to provide market projections, discuss load changes, communicate
existing hedging strategy, discuss and review hedges, and discuss any changes in the
City's business objectives.
a.We will continue to provide The City of South Bend with weekly market
updates to include price projections and the most recent market news.
b.IGS will continue to provide immediate and fully transparent email
notifications as each hedge is made. (Please see the sample notification below)
"Good afternoon,
As a member of IGS Energy's Active Commodity Allocation Program ("ACAP'), you
know that we continually monitor the natural gas futures market to best manage your
risks as a natural gas consumer. As such, we are pleased to inform you that we have
hedged more of your future natural gas needs.
Last year, from early November 2016 to late December 2016, we saw the first quarter of
2017 prices go from the $2.80s all the way up to the $3.80s with the cold weather that we
experienced before the new year. This year, forecasts are showing another December
with below normal temperatures, but with a very different story in prices. Just less than
one month ago, the January 2018 — March 2018 strip traded as high as $3.29 and since
then 2018 first quarter prices have decreased more than 35 cents. Additionally, as seen
below, NOAA is showing a below normal forecast far January 2018 through March
2018.
Considering this recent downturn and current forecasts, we have purchased an
additional 10% of your January 2018 through March 2018 natural gas needs at $2.93.
This purchase brings your total hedged position for that term to 80% at $3.096.
If you do not wish to hedge an additional 10% of your January 2018 through March 2018
expected usage for your NIPSCO locations at the above price, please contact IGS Energy
by 5: 00 PM eastern time on December 6, 2017 at 877-245-1068. "
6100 Emerald Parkway, Dublin, OH 43016 1 p 877-923-4447 l f 614-659-5125 I IGSENERGY.COM
Page 18
c.The City of South Bend will retain the right to opt out of any hedge within 24
hours of being notified of an executed hedge.
G. Invoicing
1. IGS Energy uses NIPSCO (Northern Indiana Public Service Company) to provide its
billing; The City of South Bend is responsible to pay NIPSCO for the metered volume
only.
H. Budgeting and Reporting
1. Please find the IGS Hedging Report included in this proposal.
2. Please find the IGS Natural Gas Budget Projection in this proposal.
3. IGS will assist The City of South Bend with analysis and reporting as it pertains to
natural gas usage, pricing, and the projections of both. We are also willing to provide
reporting and analysis outside usage and pricing on a best effort basis.
I. Gas Supply Agreement
1. Please find a copy of the gas supply agreement included with this proposal.
J. Equal Opportunity Employer
1. IGS is an Equal Opportunity Employer.
6100 Emerald Parkway, Dublin, OH 43016 1 p 877-923-4447 I f 614-659-5125 ! IGSENERGY.COM
<da
I
r
-...q. p
g...
C.U$tUtt'tot -noirt
Customer IT&S:
Filxed
$0.790
Customer Adder:
$0,0900
zed
Hed -64,
Blended
1Io QthY:
tiYroVume':
,
Jan 18
15,448
12,359
80%
$3,096
$2.738
$3,904
$60,311.51
r
Feb 18
14,334
11,467
80%
$3.096
$3.631
$4.083
$58,521.22
Mar 18
10,738
8,590
80%
$3.096
$2.639
$3.884
$41,708.84
Apr 18
9„978
3,492
35%
$2.917
$2.691
$3.650
$36,421.38
�d
May 18
6,585
2,305
35%
$2.917
$2,821
$3.735
$24,590.80
Jun 18
4,862
1,702
35%
$2.917
$2.738
$3.681
$17,897.04
i'
Jul 18
3,292
1,152
35%
$2.917
$2.765
$3.698
$12,175.56
Aug 18
3,546
1,241
35'✓a
$2.917
$.769
$3.701
$13,121.36
Sup 18
3,849
1,347
35%
$2.917
$2.753
$3,690
$14,206.02
x
LU
Oct 18
6,585
2,305
35%$2.917
$2.761
$3.696
$24,334.01
Nov 18
9,421
3,297
35%
$3.106
$2.801
$3.788
$35,683.07
LU
Dec 18
12,663
4,432
35%
$3,106
$2.904
$3.855
$48,808.87
101,300
53,689
$3.828
$387,779.68
ornfh;
f'ilormalized '.
He a
FI. elstetl ;
.',�l�,�,' e� �
�f�IIEX"
Blen
Monthiu Cost -
oiumi I th ,
1!a'rrae,
"" ., e7a, :.NYN ,,, ,
N
Prlo
Jan 18
15,448
12,359
80%b
$3.096
$2,588
$3.874
$5%848.07
Feb 18
14,334
11,467
80%
$3.096
$3,481
$4.053
$56,091.20
vy
Mar' 18
10,738
8,690
80%
$3.096
$2,489
$3.854
$41,386,70
'`
Apr 18
9,978
3„492
35%
$2.917
$2,541
$3.553
$35„448.52
May 18
6,585
2„305
35%
$2.917
$2,671
$3.637
$23,94&81
C
Jun 18
4,862
1„702
35%$2.917
$2,588
$3.583
$17,422,95
p
Jul 18
3,292
1,152
35%$2.917
$2.615
$3.601
$11,854.57
0
Aug 18
3,646
1,241
35%
$2.917
$2.619
$3.603
$12,775.68
X
Sep 18
3,849
1,347
35%®
$2.917
$2,603
$3.593
$13,830.70
2
Oct 18
6,685
2,$05
35%s
$2.917
$2.611
$3.598
$23,692.02
?-
Nov 18
9,421
3,297
35%
$3.106
$2.651
$3.690
$34,764,53
z
Dec 18
12,663
4,432
35%
$3.106
$2.754
$3,757
$47,574.28
101,300
53,689
$3,758
$380,638.03
l "ali
„
,�
;iedq
Market",
Blended''
Monthly Cost
...,.Y
.N
-51YWEX;
- .
ric6-
Jan 18
15,448
12,359
80%
$3,096
$2.988
$3.954
$61,083.93
Feb 18
14,334
11,467
80`°Ja
$3.096
$3.881
$4.133
$59,237.92
Mar 16
10,738
8,590
80%
$3,096
$2.889
$3,934
$42,245.73
Ln
Apr 18
9,978
3,492
35%
$2,917
$2.941
$3.813
$38,042.81
o
May 18
6,585
2,305
35%
$2.917
$3.071
$3,897
$25,660,78
64
Jun 18
4,862
1,702
35%
$2,917
$2.988
$3,843
$18,687.18
r
Jul 18
3,292
1,152
35%
$2.917
$3.015
$3,861
$12,710.55
X
Aug 18
3,546
1,241
$5%0
$2.917
$3.019
$3,863
$13,697.51
Sep 18
3,849
1,347
35%
$2.917
$3.003
$3,853
$14,831.55
Oct 18
6,585
2,305
35%
$2.917
$3.011
$3.858
$25,403.99
z
Nov 18
9,421
3,297
35%
$3.106
$3,061
$3.950
$37,213,97
Dec 18
12,663
4,432
35%
$3.106
$3,164
$4.017
$50,866.53
101,300
53,689
$3.946
$399,682.43
Norlmijl4go
HaH d6ed
:He e '
.,Hadderl
�t
Blerttle
Monthly Cast
Month
Jan 18
15,448
12,359
80%a
$3,096
$3.238
$4.004
$61„856.34
Feb 18
14,334
11,467
80%
$3.096
$4.131
$4.183
$59,954.61
Mar 18
10,738
8,590
80%
$3,096
$3.139
$3.984
$42,782.62
0
Apr 18
9,978
3,492
35%
$2,917
$3.191
$3.975
$39,6,64.25
cj
May 18
6,585
2,305
35%$2,917
$3.321
$4.060
$26,730.77
Jun 18
4,862
1,702
35%
$2.917
$3.238
$4,006
$19,477.32
Jul is
3,292
1,152
35%
$2.917
$3.265
$4.023
$13, 45.54
x
Aug 18
3,546
1„241
35%
$2.917
$3.269
$4.026
$14,273,65
9j
Sep 18
3,849
1,347
35%
$2.917
$3.253
$4.015
$16,457,07
Oct 18
6,585
2,305
35%
$2,917
$3.261
$4.021
$26,473.97
Z
Nov 18
9,421
3,297
35%®
$3.106
$3.301
$4.,113
$38,744.86
Dec 18
12,663
4,432
35%
$3,106
$3.404
$4.180
$52 924.1.9
101,300
53,689
$4.063
$411,585.18
When the prospective Contractoris unable to certify to any, of the statements below, it shall attach an tv<planaflon to thisAffldaiit.
CONTRACTOR'S NON -COLLUSION AND NON -DEBARMENT AFFIDAVIT,
CERTIFICATION REGARDING INVESTMENT WITH IRAN, EMPLOYMENT ELIGIBILITY
VERIFICATION, NON-DISCRIMINATION COMMITMENT AND CERTIFICATION OF USE
OF UNITED STATES STEEL PRODUCTS OR FOUNDRY PRODUCTS,
(Must be completed for all quotes and bids. Please type or print)
STATE OF
SS:
Fymn. ki ill COUNTY
The undersigned Contractor, being duty sworn upon his/her/its oath, affirms under the penalties of perjury that:
I , Contractor has not, nor has any other member, representative, or agent of the firm,
company, corporation or partnership represented by him, entered into any combination, collusion
or agreement with any person relative to the price to be bid by anyone at such letting nor to
prevent any person from bidding nor to induce anyone to refrain from bidding, and that this bid
is made without reference to any other bid and without any agreement, understanding or
combination with any other person in reference to such bidding. Contractor further says that no
person or persons, firms, or corporation has, have or will receive directly or indirectly, any
rebate, fee, gift, commission or thing of value on account of such sale; and
2. Contractor certifies by submission of this proposal that neither contractor nor any of its
principals are presently debarred, suspended, proposed for debarment, declared ineligible, or
voluntarily excluded from participation in this transaction by any Federal department or agency;
and
3. Conti -actor has not, nor has any successor to, nor an affiliate of, Contractor, engaged in
investment activities in Iran.
a. For purposes of this Certification, "Iran" means the government of Iran and any agency or
instrumentality of Iran, or as otherwise defined at Ind. Code § 5-22-16.5-5, as amended from
time -to -time.
b. As provided by Ind. Code § 5-22-16,5-8, as amended from tirne-to-thrie, a Contractor is
engaged in investment activities in Iran if either:
i. Contractor, its successor or its affiliate, provides goods or services of twenty iniltion
dollars ($20,000,000) or more in value in the energy sector of Iran; or
ii. Contractor, its successor or its affiliate, is a financial institution that extends twenty
million dollars ($20,000,000) or more in credit to another person for forty-five (45)
days or more, if that person will (i) use the credit to provides goods and services in
Non-Coflusion Non -Debarment Affidavit Non Iran Form
the energy sector in Iran; and (ii) at the time the financial institution extends credit, is
a person identified on list published by the Indiana Department of Administration.
4. Contractor does not knowingly employ or contract with an unauthorized alien, nor retain
any employee or contract with a person that the Contractor subsequently learns is an
unauthorized alien. Contractor agrees that he/she/it shall enroll in and verify the work eligibility
status of all of Contractor's newly hired employees through the E-Verify Program as defined by
I.C. 22-5-1.7-3. Contractor's documentation of enrollment and participation in the E-Verify
Program is included and attached as part of this bid/quote; and
5. Contractor shall require his/her/its subcontractors performing work under this public
contract to certify that the subcontractors do not knowingly employ or contract with an
unauthorized alien, nor retain any employee or contract with a person that the subcontractor
subsequently learns is an unauthorized alien, and that the subcontractor has enrolled in and is
participating in the E-Verify Program. The Contractor agrees to maintain this certification
throughout the term of the contract with the City of South Bend, and understands that the City
may terminate the contract for default if the Contractor fails to cure a breach of this provision no
later than thirty (30) days after being notified by the City.
6. Persons, partnerships, corporations, associations, or joint venturers awarded a contract by
the City of South Bend through its agencies, boards, or commissions shall not discriminate
against any employee or applicant for employment in the performance of a City contract with
respect to hire, tenure, terms, conditions, or privileges of employment, or any matter directly or
indirectly related to employment because of race, sex, religion, color, national origin, ancestry,
age, gender expression, gender identity, sexual orientation or disability that does not affect that
person's ability to perform the work.
In awarding contracts for the purchase of work, labor, services, supplies, equipment, materials,
or any combination of the foregoing including, but not limited to, public works contracts
awarded under public bidding laws or other contracts in which public bids are not required by
law, the City, its agencies, boards, or commissions may consider the Contractor's good faith
efforts to obtain participation by those Contractors certified by the State of Indiana as a Minority
Business ("MBE") or as a Women's Business Enterprise ("WBE") as a factor in determining
the lowest, responsible, responsive bidder.
In no event shall persons or entities seeking the award of a City contract be required to award a
subcontract to an MBE/WBE; however, it may not unlawfully discriminate against said
WBE/MBE. A finding of a discriminatory practice by the City's MBE/WBE Utilization Board
shall prohibit that person or entity from being awarded a City contract for a period of one (1)
year from the date of such determination, and such determination may also be grounds for
terminating the contact for which the discriminatory practice or noncompliance pertains.
7. The undersigned contractor agrees that the following nondiscrimination commitment
shall be made a part of any contract which it may henceforth enter into with the City of South
Bend, Indiana or any of its agencies, boards or commissions.
Non -Collusion Non -Debarment Affidavit Non Iran Form
Contractor agrees not to discriminate against or intimidate any employee or applicant for
employment in the performance of this contract with privileges of employment, or any matter
directly or indirectly related to employment, because of race, religion, color, sex, gender
expression, gender identity, sexual orientation, handicap, national origin or ancestry. Breach of
this provision may be regarded as material breach of contract.
1, the undersigned bidder or agent as contractor on a public works project, understand my
statutory obligations to the use of steel products or foundry products made in the United States
(I.C. 5-16-8-1). 1 hereby certify that I and all subcontractors employed by me for this project will
use steel products or foundry products made in the United States on this project if awarded. I
understand I have an affirmative duty to notify the City in any bid that my proposal does not
include the use of steel products or foundry products made in the United States. I understand it is
rny sole obligation and responsibility to provide a justification to the City, subject to review and
approval, why the cost of United States made steel or foundry products is unreasonable. Prior to
award and upon submission of bid which does not use steel products or foundry products made
in the United States, the City, through its, director of public works, shall make a determination if
the price of United States made steel or foundry is unreasonable. I understand that violations
hereunder may result in forfeiture of contractual payments.
I hereby affirm under the penalties of perjury that the facts and information contained in the foregoing bid for
public works are true and correct,
,.- "r
Dated this .. ........ —day of 20
Contractor/Bidder (Firm)
Sliilafffure of C6ntractor/Biddcr or Its Agent
Printed anie and Title
e-
Subscribed and sworn to before me this day f (A U 201b-
My Commission Expires
Notary Public
County of Residence I("", I' V
Non-Cokusion Non-Debannent Affidavit Non Iran Form
KRISTIN C1qEK-MCCHESNF.Y
Attorney at Law
NOTARY PUBLIC
STATE OF OH10
My Commission Has
No Expiration Date
Section 147.,03 O.R.C.
1316 COUNTY -CITY BuiLDING
227 W, JEFFERSON BOULEVARD
SOUTH BEND, INDIANA 46601-1830
PHONE 574/235-9251
FAx 574/ 235-9171
TDD 574/ 235-5567
CITY OF SOUTH BEND PETE BUTTIGIEG, MAYOR
BOARD OF PUBLIC WORKS
Date: May 7, 2018
To: All Planholders
From Linda M. Martin, Clerk, Board of Public Works
Subject Addendum Number: I
Project Name
Natural Gas Supply
Project Number: 17-0�19
e 1. 111] LYS
Date Received:
This addendum is being forwarded to you for the above referenced project.
Please sign below and acknowledge receipt of this Addendum
by faxing this sheet to the Board of Public Works at (574) 235-9171
within 48 hours of receipt. A copy MUST also be included with your
bid package upon submittal.
Notes:
The attached documents are hereby added to the Specifications and Contract
Documents and become a part of herein.
Compa
Author
Date:
Version 4/2/2015
PROJECT NAME: 17-019 NATURAL GAS SUPPLY
ADDENDUM NO. I
Date: May 7,2018
To: All Plan Holders
From: Linda M. Martin, Clerk of the Board of Public Works
The following BID/PROPOSAL page is to be added/changed to the contract
documents:
The attached RFP page replaces the original RFP page.
The attached Proposal Evaluation page replaces the original Proposal
Evaluation page.
Items changed
- Revised scoring matrix
- Revised personnel who will score the proposals
A FULL AND COMPLETE COPY OF EACH CORRECTED PAGE IS
ATTACHED TO THIS ADDENDUM.
You must acknowledge receipt of this addendum by signing the first page,
returning it via facsimile to (574) 235-9171, and a copy of the first page must be
included with your bid.
— This addendum consists of a total of 5 pages —
Version 4/2/2015
CITY OF SOUTH BEND, INDIANA
BOARD OF PUBLIC WORKS
REQUEST FOR PROPOSALS
Seated Proposals shall be received no later than 9:30 a.m., EST, on May 8, 2018, in the office of
the Board of Public Works, 13th Floor, County City Building, Room 1316, South Bend,
Indiana, for:
NATURAL GAS SUPPLY FOR CITY OF SOUTH BEND OWNED FACILITIES
SUMMARY:
The Board of Public Works of the City of South Bend ("City"), on behalf of the South Bend
Division of Central Services, is soliciting proposals from qualified vendors to supply natural gas
to all city -owned facilities with a NIPSCO natural gas account. The City has 103 natural gas
meters with an average consumption of 777,000 therms (77,000 dekatherms).
Project description:
The purpose of this Request for Proposal ("RFP,") by the City is to solicit scaled proposals from
qualified vendors to provide natural gas to city -owned facilities, both at market price (based on
NYMEX) at pricing based on hedging activity via futures purchases.
The Board will open the proposals at 9:30 a.m., EST, on May 8, 2018, in the Board of Public
Works Meeting, Ste. 1308, County -City Building, 227 W. Jefferson Blvd., South Bend, Indiana
46601. Representatives of the City and Central Services will evaluate proposals and make its
award subject to the evaluation criteria stated herein below,
Proposals most meet the minimum specifications as provided in the City's Request for
Proposals.
How the Proposals will be evaluated and scored for selection.
The person/firm making a proposal to provide this service shall submit an explanation of how
they comply with the requirements of this RFP. Exceptions to any requirements mentioned in
this RFP must be clearly noted. Information submitted will be scored on a 100 point matrix
system as follows and will be graded by members of City staff.
1. Qualifications of Firm
a. Experience — 20%
b. References — 10%
c. History — 5%
d. Financial Stability — 5%
2. Ability to Meet Requirements
a. Variable supply (NYMEX) — 20%
b. Fixed supply (hedged contracts) — 20%
3. Price — 20%
Version 4/2/2015
Upon selection, the City and Central Services will then be given the approval to negotiate the
terms of a final agreement. If an agreement cannot be successfully negotiated with the prevailing
proposer, negotiations may be entered into with the second -place proposer, and so on. Following
negotiations, the City's Board of Public Works will be asked to review and approve the proposed
written agreement and if approved, the agreement will be executed.
The successful proposal respondent shall comply with the City's ordinance and all other federal,
state and local laws and regulations governing nondiscrimination in employment.
The City reserves the right to accept, negotiate scope or reject any or all proposals.
Complete Proposal Request packages and instructions are available for download by
visiting the City of South Bend's web page at www.southbendin. oy:
L_
• Click on "Business"
• Click on "City Public Bids"
• Click on "Request for Proposals, Vehicles, Equipment and Miscellaneous
Bids"
• Click on "Bid/Proposal Interest Form" and register your company to
receive updated information
• Select specification to download
• Print the specification or save it to your computer
There is no charge for the specifications. The specifications are also available for review only
during regular working hours in the Department of Public Works, 1308 County -City Building,
South Bend, Indiana. Questions should be directed by email to Adam Parsons at
is ;soaks qn& L �qpt[Lbg'I 61pggy
The City reserves the right to review and audit all documents related to this proposal and to request
additional information as determined necessary. Failure to comply with the City's request may be
deemed grounds for dismissing the proposal,
Proposals must include the Non -Collusion Affidavit, Non -Debarment Affidavit,
Employment Eligibility Verification, and Non -Discrimination Commitment Form.
BOARD OF PUBLIC WORKS
Linda M. Martin, Clerk
Publish two (2) times: April 13, 2017
April 20, 2017
Version 4/2/2015
How the Proposals will be evaluated and scored for selection.
The person/firm making a proposal to provide these services shall submit an explanation of
how they comply with the requirements of this RFP. Exceptionsto any requirements
mentioned in this RFP must be clearly noted. Information submitted will be scored on a 100
point matrix system as follows andl will be graded by members of the City staff.
1. Qualifications of Firm
a. Experience — 20%
b. References — 10%
c. History — 5%
d. Fina,ncial5t!ability-5%
2. Ability to Meet Requirements
a. Variable supply (NYMEX) — 20%
b. Fixed supply (hedged contracts) — 20%
3. Price — 20%
CONTACT INFORMATION
Adam Parsons
11045 West Sample Street
South Bend,, IN 46601
574-235-9302
EMMUMM
SUBMITTAL, DEADLINE AND OPENIING AT PUBLIC HEARING
May 8, 2018 @ 9:30 AM
SUBMIT SEALED PROPOSALS TO:
The City of South Bend, Indiana
1316 County -City Building
227 West Jefferson Blvd.
South (Bend, Indiana 46601
RE: Natural Gas Supply
Version 4/2/2015
May 07 2018 03:OOPM ET LGS (614) 368-0660 Page 2/2
131E COUNTY-L:UYB[JR: (N(i
221 W. JC".FFFK30 B0U1,E:VARD
SOUTH 11 NDIWXAm4660I-1930
Puom 574, 235-9251
FAX 574/ 2.35-9171
TDD 574/ 235-:5567
CITY of SOUTFI BEND PF_TE BLJ T1dJr_G, MAY0R
BOARD OF PUBLIC WORKS
Date: Mai° 7, 2018
To: i1 Planholders
coin Linda M, Ma:finn Clerk, Board of Public Mlorkti
Subject. Addendum Number: I
Project Mime: Natural Gas Supply
Prc?ject Nunnber: 17-019 _
ACKNOWLEDGEMENT OF RECEIPT OF AUDENDIU
Date Received -
This addendum is being forwarded to you for the above i-efe:renccd. project.
Please sign below and acknowledge receipt of this Addendum
by faxing this skeet to the Board of Public works at (574) 235-9171
within 48 hours of receipt. A copy MUST also be included with you:r
bid package upon submittal.
THIS ADDENDUM MAY AFFECT YOUR BID.
Notes:
The attached documents are hereby added to the Specif eatio s and Contract
Documents and become a. part of herein.
Colnpc
Audios
late:
Version 4P?i2015
Date
Name
BOARD OF PUBLIC WORKS
AGENDA ITEM REVIEW REQUEST FORM
5/14/2018
Adam Parsons
Department Central Services
BPW Date May 22, 2018 Phone Extension 9302
Legal Attorney Name Clara McDaniels
Controller review is required for all Contracts $5,000.00 or more
Controller ® and greater than one year in length per the City Purchasing
Policy
Purchasing ❑
( _,j Agreement a Contract U Proposal L_J Addendum
❑ Professional Services ❑ Amendment
❑ Bid Opening 0 Bid Award WO'POYt4 ❑ Req. to Advertise ❑ Title Sheet
❑ Quote Opening ❑ Quote Award
❑ Chg Order No. ❑ CIO & PCA No. ❑ PCA
❑ Ease./Encroach. ❑ Traffic Control ❑ Resolution
I-1 Other: n Claim
Company or Vendor Name
New Vendor
MBENVBE Contractor
Project Name
Project Number
Funding Source
Account No.
Amount
Terms of Contract
Purpose/Description
L-1 Yes U If Yes, Approved by Purchasing
❑ No
WBECompleted E-Verify Form Attached ❑Nos
Natural Gas Supply
17-019
Various departmental funds
TBD; total estimate of $137,000, with a 5% allowance
Contract details to be negotiated after RFP selection process
Update various CCB offices to better suit current employee profile
. Fir khan e Orders Onl
Amount of ❑ increase $
❑ Decrease $
Previous Amount $
Current Percent of Change: %
New Amount $
Total Percent of Change: %
Time Extension:
Copy Origina
®
❑
❑
❑
❑
❑
Dispersal After Approval
Therese Dorau, Director of Sustainabili
1316 COUNTY -CITY BUR,DING
227 W, JEFFERSON BOULEVARD
Souni BEND. INDIANA 46601-1830
CITY OF SOUTH BEND PETE BUTTIGIEG, MAYOR
May 22, 2018
Dana Murphy
Constellation NewEnergy — Gas Division, LLC
9400 Bunsen Parkway, Suite 100
Louisville, KY 40220
RE: Proposal Award — City of South Bend Natural Gas Supply
Dear Ms. Murphy:
PHONE 574/ 2359251
FAx 574/ 2,35-9171
The Board of Public Works, at its meeting held on May 22, 2018, awarded the above
referenced proposal to Interstate Gas Supply, Inc as recommended by the review committee
as the highest scoring proposal and authorized the review team to negotiate a contract with
Interstate Gas Supply, Inc. If contract terms cannot be reached, the award will go to the next
highest scoring vendor.
We thank you for bidding and hope you will bid with us again in the future.
If you have any further questions regarding this matter, please call this office at (574) 235-
9251.
Sincerely,
Linda M. Martin, Clerk
GARY A. GILOT SUZANNA A FRITZBERG ELIZABETI i A. MARADI K JAMEs A. MUELLER THERESE J. DORAU