Overview
FAR Subpart 41.3 establishes the formal procedures and documentation requirements for federal agencies seeking contracting assistance or a delegation of authority from the General Services Administration (GSA) regarding utility services. It ensures that the GSA has sufficient technical and financial data to evaluate, negotiate, or authorize utility contracts effectively.
Key Rules
- The 120-Day Rule: Agencies must submit requests for contracting assistance at least 120 days before the required service start date or the expiration of an existing contract.
- Regional Submission: Requests must be directed to the specific GSA regional office serving the geographic area where the utility service is required.
- Mandatory Documentation: Every request must include a technical description, a delivery schedule, copies of proposed contracts or service proposals, and all current published/unpublished utility rates.
- Market Analysis: Agencies must provide an analysis of all available supply sources, including the cost-effectiveness of each and the physical location of the supplier's facilities relative to the federal site.
- "Make vs. Buy" Assessment: For new services, the agency must provide an estimate of what it would cost to construct its own connection to the utility's facilities rather than participating in a cost-sharing program with the supplier.
Responsibilities
- Requesting Agency:
- Compiling and submitting comprehensive technical specifications and demand estimates (12-month projections).
- Providing detailed accounting and appropriation data to ensure funding availability.
- Developing schematic diagrams and line drawings of meter and facility locations.
- Maintaining records of the previous 12 months of utility invoices and consumption data for existing services.
- General Services Administration (GSA):
- Reviewing requests for assistance or delegations of authority.
- Providing the names and locations of regional offices through the Energy Division.
- Evaluating the technical and financial feasibility of the proposed utility acquisition.
- Utility Supplier (Implicit):
- Providing the agency with necessary rate schedules and construction cost estimates for new facilities.
Practical Implications
- Lead-Time Management: The 120-day requirement is a critical milestone for Project Managers and Contracting Officers. Failing to meet this window can lead to service gaps or the need for costly short-term emergency bridge contracts.
- Technical Detail Complexity: Agencies cannot simply ask GSA to "find a utility provider." They must provide granular data, including "peak shaving" strategies, "demand side management," and "load shaping" information. This requires close coordination between the agency’s facilities engineers and the acquisition team.
- Infrastructure Ownership Disputes: By requiring documentation on transformer ownership and meter placement, the FAR aims to prevent disputes over maintenance responsibilities and "line loss" costs.
- Audit Readiness: The requirement to provide 12 months of historical invoices and a month-by-month tabulation of demand ensures that any new contract or delegation is based on actual usage patterns rather than rough estimates, reducing the risk of over-obligation of funds.