INVITATION TO LEASE

INVITATION TO LEASE

IN HAPPY VALLEY-GOOSE BAY, NF

FILE NUMBER R.099994.003

Public Works and Government Services Canada (PWGSC) on behalf of the Department of National Defense (DND) is requesting interested parties to submit an Offer to Lease Federal Lands, Facilities and Buildings in 5 Wing Goose Bay, Happy Valley-Goose Bay. 

1. DEFINITIONS

a) The word "Lessor" when used herein includes the successors and assigns of the Lessor; the word "Lessee" includes the Lessee’s successors or assigns;

b) The word "Minister" means the person holding the position, or acting in the capacity, of the Minister of National Defence, for the time being, and shall include the person holding the position, or acting in the capacity of the Deputy Minister of National Defence, for the time being; and

c) The Acronym “POL” refers to Petroleum, Oil and Lubricants.

PURPOSE

a) The Leased Premises shall be used for purposes in connection with the receiving, storing, dispensing, handling and sale of petroleum products, and shall be used for no other purpose or purposes whatever;

b) The Lessee and Her Majesty, as represented by the Minister of National Defence (the Lessor) will enter into a Standing Offer which runs contemporaneously with this Lease, pursuant to which the Lessee shall supply petroleum products to the Lessor (the Standing Offer will hereinafter be referred to as the POL Standing Offer), and;

c) To perform that POL Standing Offer, the Lessee needs to use and exclusively occupy the subject land area, approximately 1,550,543 square metres, and the Facilities and Buildings within the Upper and Lower Tank Farms including tanks, pumps, valves, pipelines and other associated equipment contained (hereinafter referred to as the “Leased Premises”).

3. TERM

a) The Lessor grants the use of the Leased Premises and the Right and Privilege to the Lessee for a five (5) year term from and after the 1^st day of January, 2019 at 0001 hours (“Commencement Date”), to the 31st day of December, 2023 at 2359 hours (hereinafter referred to as the “Term”);

b) The Lessor may, at her sole discretion, renew this Lease for two (2) additional one (1) year periods, from the 1^st day of January, 2024 at 0001 hours, to the 31^st day of December, 2024 at 2359 hours and after the 1^st day of January, 2025 at 0001 hours, to the 31^st day of December, 2025 at 2359 hours. Those renewals will be under the same terms and conditions as identified in the subject agreement. The Lessee will be advised of the decision to offer a lease.

4. EVALUATION

a) Any Offers will be evaluated in conjunction with an associated PWGSC Request for Standing Offer (E60HL-180001). All Offers will be evaluated based on Part 8 of the Lease Documentation Package.

b) There is a concurrent Invitation to Lease process for Tanks 1540 and 1541. Offerors have the opportunity to present Offers on both Invitation to Lease processes; however, Offerors cannot be successful on both processes. The successful Offeror of this subject process will automatically be disqualified from the tender process for Tanks 1540 and 1541.

5. SCOPE OF WORK

The Lessee:

a) Hereby accepts that the Leased Premises, in its current condition are in good working condition and repair and that they are suitable for the storage and dispensing of petroleum fuels and petroleum products;

b) Will operate the 5 Wing Goose Bay petroleum storage facilities and distribution systems and receive and store all petroleum products;

c) Will perform preventive and corrective maintenance to fuel facilities and related equipment including pipelines cathodic protection systems;

d) Will maintain pumps and fuel dispensing equipment used in the receipt, storage, issue and quality control of petroleum products;

e) Will inspect, test and report discrepancies of POL facilities in accordance with all applicable regulations, codes, standards and DND publications;

f) Will collect, store and dispose of all waste POL products, only generated by the Lessee, associated with the tank farms, pipeline and fuel delivery activities in accordance with legal and policy environmental requirements;

g) Will calibrate fuel dispensing and monitoring equipment, including fuel meters, pressure relief valves and pressure gauges;

h) Will perform quality surveillance of fuel in accordance with C-82-002-007/SG-001and C82-010-007/TP-000. Conduct fuel testing for DND upon request;

i) Will perform preventive maintenance on all upper and lower tank farm infrastructure and equipment as identified in Schedule 1;

j) Will maintain a complete on site library of instructions, technical manuals and operating handbooks referenced in the contract plus blueprints and schematic drawings of active POL systems. For any modification or upgrade of POL Facility as-built drawing must be provided to DND as per SOR 2008-197; and

k) Will perform spill prevention, control, clean-up and reporting.

6. SECURITY REQUIREMENT

a) Overview - this security requirement applies to Offerors that will participate in the evaluation process and will enter into a Lease. The Lessee will have to hold a valid security clearance at the Reliability level, approved and granted by the Canadian Industrial Security Directorate (CISD) of PWGSC prior to lease award. All parties interested in this lease project are advised to obtain this security clearance level in advance. Information regarding security clearance can be obtained on the website of the CISD/ PWGSC at http://ssi-iss.tpsgc-pwgsc.gc.ca. Please contact the person listed in Section 10 to initiate the security clearance process.

b) Further information on Security requirements, including integrity provisions, are detailed in the Lease Documentation Package.

7. LEASE DOCUMENTATION PACKAGE

a) The Lease Documentation Package provides further information concerning the overall requirement, instructions concerning the preparation and submission of an offer, the evaluation process, and other relevant information, including the Mandatory Form of Lease and associated Schedules (Buildings and Facilities, Maintenance and Operation of POL Systems, Contract Requirements, Applicable Legislation, Standards, Procedural Documentation, etc.) All offerors are asked to please refer to these for further details.

8. RESPONSES

a) The Lease Documentation Package included sets out the provisions, requirements and standards to be included and maintained in the Leased Premises and is to be used in the preparation of an Offer. The preparation and submission of an Offer shall be at the sole expense of the Offeror.

b) Interested parties are requested to submit their response to this Offer to Lease in writing to the following address:

Public Works & Government Services Canada

Bid Receiving Unit

1713 Bedford Row

Halifax NS 

B3J 3C9

Attention: Brad Hookey

Or by facsimile to 902-496-5016

Or by email to the contact listed below in Section 10.

Please indicate File No. R.099994.003 on all correspondence.

9. RESPONSE REQUESTED BY

a) As this may be the only invitation to submit an Offer for this potential lease project, owners or their agents should provide their response by September 10, 2018. Any response received after this date may not be considered.

10. ADDITIONAL INFORMATION

a) For more information, please contact Brad Hookey, Senior Leasing Officer, by phone at 902-802-0917 or by email at: brad.hookey@pwgsc-tpsgc.gc.ca.