Fuel Management Program February 5, 2008 
Contents 

Section Page 
Overview  1 

 Realignment of Fuel Gallons  1 

 Fuel Purchase Form (HC131)  2 

 Vehicle Information Sheet  2 

 Determining Contract Baseline Fuel Price per Gallon - Renewals  3 

 Contracts that Will be Indexed at Renewal  3 

 Contracts Using the Fuel Transaction Card  3 

 Determining Contract Baseline Fuel Price per Gallon – Awards  3 

 Transportation Routes  3 

 Contract Delivery Service and  
Combination Transportation/Contract Delivery Service Routes  4 

 Electronic Sourcing  4 

Fuel Payment Processing – Automated Systems: 
 Fuel Transaction Card – General  4 
 Loss, Theft or Unauthorized Use of the Fuel Transaction  
Monthly Adjustment to the Contract Baseline Fuel Price 

 Authorized Use of the Fuel Transaction Card  4 

 Card Issued by the Designated Card Provider  5 

 Fuel Transaction Card – Bulk Fueling Locations  7 

 Fuel Transaction Card – Retail Fueling Locations  7 

  per Gallon  8 

 Fuel Payment Processing – Manual 
General  11 

 One-Line Adjustment to the Cost Statement  11 

 Purchasing Fuel from a Designated Source – General  11 

 Purchasing Fuel from a Designate Source – Bulk Fueling Location 
 Product  12 

  Site Survey  12 

  Ordering  12

  Delivery  13 

 Inspection and Acceptance  14 

  Fuel Spills  15 

 Determination of Fuel Quantity  15 

  Emergencies  15 

 Low Temperature Operations Blending Percentages  16 

 Payment to DFS  16 

 Non-Performance of the DFS  17 

 Pooling  18 

 Definitions   19 

Forms 
Fuel Purchase Form (HC131) 
Vehicle Information Sheet 
FUEL MANAGEMENT PROGRAM February 5, 2008 
This document defines the processes associated with the Postal Service’s Highway Contract Route (HCR) Supplier Fuel Management Program which includes transaction cards, fuel index adjustments, and one-line fuel certifications. 
Overview 
Participation in the Postal Service’s Highway Contract Route Supplier Fuel Management Program is mandatory for all highway contract award or renewal suppliers unless waived by the Contracting Officer in writing. The Contracting Officer will determine which method of compensation is appropriate for the subject contract.  The Contracting Officer may change the method of compensation.  When directed by the Contracting Officer, the supplier must purchase all fuel for the contracted service with the fuel transaction card or accept compensation for fuel in accordance with the fuel index adjustment process.  Purchasing in bulk is the preference of the Postal Service.  When bulk fuel is not available, the Contracting Officer will direct the supplier to purchase retail fuel compensable through the fuel transaction card or fuel index process..  Fuel indexing may not be applied to contracts whose purchases can be made on the fuel transaction card at retail locations or when bulk fuel is available to a supplier.  The supplier is responsible for the transactions made on the fuel transaction cards issued by the Designated Card Provider.  The Contracting Officer may direct an HCR Supplier to specific fueling locations. 
Contract Delivery Service Routes, combination routes, routes with multiple fuel types, and all routes operating in Puerto Rico and the Virgin Islands will not be issued fuel transaction cards and will be subject to the indexing provisions of this document. 
The Postal Service will use one of two automated systems (see Definitions) to process fuel compensation. 
1.	1. 	Use of a fuel transaction card.  This is the preferred method of fuel compensation. 
2.	2. 	Fuel index adjustments to the contract baseline fuel price per gallon based on the applicable Department of Energy (DOE) regional fuel index.  The adjustment to the contract baseline fuel price per gallon may be an increase or a decrease. 

If the Contracting Officer determines that an HCR supplier cannot use an automated system, the Postal Service will manually process one-line fuel adjustments, when requested in writing by the supplier and accompanied by a fuel certification. 
Exceptional Circumstances: 
Trip rate, plant load, emergency, and “go anywhere” contracts are excluded from the requirements to secure fuel transaction cards, but may participate at the discretion of the Contracting Officer.  
Realignment of Fuel Gallons 
When the Contracting Officer determines that the subject contract’s fuel compensation calculation will use one of the two automated methods, the HCR supplier has an opportunity to request a realignment of gallons.  If the Contracting Officer agrees to realign gallons, the HCR supplier will be provided with an opportunity to realign the cost of the agreed gallons at $1.199 per gallon. 
The HCR supplier may request to realign gallons into line 6 of the cost statement.  If the Contracting Officer agrees to add gallons into the cost statement, the cost of the agreed gallons will be the applicable monthly DOE regional fuel price per gallon.  The bottom line cost of the contract will remain unchanged when the cost of the additional gallons is incorporated. 
The Postal Service recognizes that in the case of bulk fuel purchases, the HCR supplier may use fuel purchased under this program for purposes other than providing, handling or transporting mail under this or other Postal Service contracts.  These purposes arise from operational circumstances that prohibit the exhaustion of fuel purchases for Postal Service business prior to embarking on other business.  For retail purchases, the intent of the fuel transaction card is that it can only be used for Postal Service fuel purchases However, compensation and adjustments to compensation under this contract will be calculated based only on the number of gallons allowed for the given contract year for Postal Service business.  HCR suppliers will be required to compensate the Postal Service for any gallons purchased above and beyond the gallons allowable on the contract for the given contract year. 
Fuel Purchase Form (HC131) 
At contract award or renewal, the HCR supplier must complete and submit a signed Fuel Purchase Form (HC131) to the Contracting Officer indicating the type and percentage of fuel purchase(s) planned (Bulk, Retail, or Bulk and Retail Combination).  The HCR supplier must disclose if any of its anticipated fueling locations are owned by the HCR supplier.  This would include fueling locations that are substantially owned or controlled by an HCR supplier, a member of the HCR supplier’s immediate family; the officers of the corporation (if the contract is a corporation), their immediate families; and partners or their immediate families. 
In cases where monthly adjustments to the contract baseline fuel price per gallon, whether automated or not, are anticipated, the Fuel Purchase Form (HC131) must specify each state in which fueling is anticipated and the number of gallons expected to be purchased in each state. 
Where bulk and retail combination purchases are planned, the purchase ratio (bulk versus retail) must be stated.  The ratio is based on anticipated average purchases.  The Contracting Officer will provide the HCR supplier with a copy of the finalized Fuel Purchase Form and will incorporate it as part of the contract. 
An HCR supplier will not be reimbursed for the additional cost of premium grade (see Definitions) of either diesel or gasoline.  In cases where the HCR supplier purchases premium grade, the Contracting Office may seek reimbursement from the HCR supplier for the additional cost of the premium fuel. 
During the term of the contract, the HCR supplier may request to change the Fuel Purchase Form.  No change will be permitted which will result in an increase in the total compensation allowed the HCR supplier without a negotiated change executed by the Contracting Officer.  Therefore, HCR suppliers may be required to realign the specific line items of their cost statement.  Upon approval, the revised Fuel Purchase Form will be incorporated into the contract.  Unapproved changes may result in termination of the contract for default under Clause 4-1 - General Terms and Conditions. 
Vehicle Information Sheet 
When (either at award, renewal, or some other time during the term of the contract) the Contracting Officer determines that the subject contract will be compensated using the fuel transaction card, , the Contracting Officer will require the HCR supplier to return a completed Vehicle Information Sheet to the area Distribution Networks Office. 
The Contracting Officer will submit the completed Vehicle Information Sheets to the Transportation Asset Management (TAM) CMC and notate the effective date for the activation of the fuel transaction cards. 
During the term of the contract, if the HCR supplier adds, removes, or changes the vehicles operating on the subject contract, the HCR supplier will provide the Contracting Officer with an updated Vehicle Information Sheet.  The Contracting Officer will provide the information to the TAM CMC.  The TAM CMC will process the revised information and activate or deactivate, as appropriate, fuel transaction cards. 
Determining Contract Baseline Fuel Price per Gallon - Renewals 
The first two paragraphs of this section apply to routes that are NOT using the fuel transaction card.  The final paragraph addresses routes currently using the fuel transaction card or who will be issued fuel transaction cards. 
Contracts That Will be Indexed at Renewal 
For bulk and retail fuel purchases, if the Contracting Officer determines the contract’s bottom line price is fair and reasonable, the renewal may be processed with the fuel price per gallon included in the expiring contract.  The Contracting Officer may require the HCR supplier to provide a monthly certification for the month prior to renewal.  Once the Contracting Officer evaluates the certification and determines that it is reflective of local market conditions, this fuel price per gallon will become the contract baseline fuel price per gallon for the contract effective on the renewal date of the contract.  The Contracting Officer will modify the contract information to reflect this contract baseline fuel price per gallon. 
For retail and bulk combination purchases, the contract baseline fuel price per gallon will be the weighted average price using the percentages identified on the Fuel Purchase Form (HC 131) and the process identified above for purchase price determinations. 

Contracts Using the Fuel Transaction Card 
For routes that have been issued a fuel transaction card and whose price per gallon equals $0.00 at the time of renewal, the HCR supplier’s cost statement will be evaluated excluding the cost of fuel.  If the contract’s bottom line price is reflective of local market pricing based on the service and the estimated number of gallons anticipated to perform the service is competitive, the Contracting Officer will process the renewal with the price per gallon for fuel set equal to $0.00. 
Determining Contract Baseline Fuel Price per Gallon – Awards 

Transportation Routes 
For awards, not including Contract Delivery Service Route awards, the contract baseline fuel price per gallon will be determined by the Contracting Officer given the fueling locations provided by the HCR supplier on the Fuel Purchase Form (HC 131). 
.	•	For retail purchases, the applicable monthly average DOE regional fuel index cost per gallon available at the time of evaluation for the fueling locations will be applied. 
.	•	For bulk fuel purchases, the monthly USPS Fuel Program Price per Gallon for each fueling location available at the time of evaluation will be applied.  If the HCR supplier’s bulk fueling location is not currently purchasing its fuel from the Designated Fuel Supplier, the applicable monthly DOE regional fuel index cost per gallon that is most recently available at the time of proposal evaluation less $0.1000 will be the contract baseline fuel price per gallon for evaluation and subsequent award. 
.	•	For retail and bulk combination purchases, the Contracting Officer will calculate its price per gallon based on the percentages identified on the Fuel Purchase Form and the 

Fuel Management Program February 5, 2008 
information provided above for the bulk and retail purchase prices. 

Contract Delivery Service and Combination Transportation/Contract Delivery Service Routes 
For Contract Delivery Service and Combination Transportation/Contract Delivery Service Routes, the Contracting Officer will evaluate the fuel price provided by the HCR supplier in the proposal.  If the estimated gallons are reflective of what is required for the service and the price per gallon is reflective of local market pricing, the baseline price per gallon will be established for the contract based on the proposal submitted.  If local market analysis indicates that the price per gallon may be incorrect, the Contracting Officer may require the supplier to certify fuel effective retroactively to the beginning term of the contract. The Contracting Officer will modify the contract, by increasing or decreasing the price per gallon, to reflect this contract baseline fuel price per gallon. 

Electronic Sourcing 
When electronic sourcing is used to submit proposals for awards, offers should not contain fuel cost; however, annual fuel gallons must be included.  The Contracting Officer, will request a Fuel Purchase Form (HC 131) from offerors in the competitive range.  The form must be submitted electronically (i.e, email or fax) as directed by the Contracting Officer.    
The DOE Regional Fuel Indices, for retail purchases, and USPS Fuel Program Prices, for Bulk purchases, will be used in the evaluation of offers.  These prices will be uploaded to the electronic sourcing system and attached to the procurement event to provide offerors with the prices that will be used by the Contracting Officer during proposal evaluation.  The Contracting Officer will multiply the proposed gallons by the appropriate DOE Regional Fuel Indices or the USPS Fuel Program Prices to determine the total cost for award evaluation.  With consideration of other factors, the lowest offer may not be selected in the determination of "best value" for the USPS. 
Fuel Payment Processing – Automated Systems: Fuel Transaction Card - General 
When the fuel transaction card has been issued to the HCR supplier, the HCR supplier agrees to use the fuel transaction card to transact and record all of its fuel purchases for Postal Service business.  The HCR supplier must use the fuel transaction cards to purchase fuel for its Postal Service HCR contract performance only. The HCR supplier is required to purchase fuel at the most economical fueling location along the line of travel.  If the Contracting Officer determines that the HCR supplier is not securing fuel at the most economical price available, the Contracting Officer may deduct the cost in excess of what the Contracting Officer determines as economical from the HCR supplier’s compensation. 
The Contracting Officer may direct a HCR Supplier to specific fueling locations.  If the HCR supplier is directed by the Contracting Officer to use specific fueling locations, fuel purchased at locations other than those specified by the Contracting Officer may not be reimbursed. 
The HCR supplier is responsible for ensuring that its drivers are adequately trained to use the fuel transaction cards for authorized fuel purchases, to safeguard the cards from theft or unauthorized use, and to ensure its drivers follow these requirements.  When the fuel transaction card is activated by the Postal Service, the cost per gallon of fuel will be set to zero on Line 6 of the subject contract’s cost statement (PS Form 7463). 
Authorized Use of the Fuel Transaction Card 
Fuel Transaction Cards are issued to HCR suppliers for the sole purpose of enabling HCR suppliers to obtain fuel needed for the performance of certain Postal Service HCR contracts at Postal Service expense.  Authorized use of Fuel Transaction Cards is limited to obtaining quantities of authorized grades of fuel within approved contract allowance limits for use in the performance of Postal Service HCR contracts. Any other use of the Fuel Transaction Card is unauthorized.  HCR suppliers are not 
authorized to use the Fuel Transaction Card to purchase fuel in excess of allowed quantities (gallons).  Examples of unauthorized use include, but are not limited to, using cards to purchase unauthorized grades of fuel, using cards to purchase fuel in excess of allowed gallons, using cards to purchase fuel used in the performance of contracts other than the Postal Service HCR contract for which the card was issued, using the card to purchase fuel for vehicles other than those used to perform the HCR contract, and using the card to purchase items other than fuel.  Unauthorized use of the Fuel Transaction Card can be a federal crime in violation of Title 18 of the United States Code, Sections 641 and/or 1029, among others. Suspected fraudulent or unauthorized use of the Fuel Transaction Card must be reported to the USPS Office of Inspector General for investigation. 
Loss, Theft, or Unauthorized Use of the Fuel Transaction Card Issued by the Designated Card Provider 
The HCR supplier will be liable for all charges resulting from loss, theft, or unauthorized use of the fuel transaction card, except that it shall not be liable for charges resulting from unauthorized use occurring after the HCR supplier has properly notified the Designated Card Provider of the loss or theft of a fuel transaction card.  In order to protect the HCR supplier from unauthorized transactions, it is suggested that the HCR supplier review the transaction details on the Designated Card Provider’s website. The HCR supplier must immediately report all unauthorized use, loss, or theft of fuel transaction cards to the Designated Card Provider by telephoning the Designated Card Provider at its toll-free number.  This notification must also be received by the Postal Service and the Designated Card Provider in writing.  Do not use the lost or stolen card(s) after notifying the Designated Card Provider.  Should an unauthorized use of a card(s) occur, the Postal Service, at its sole discretion, may immediately cancel the card(s).  The HCR supplier must fully cooperate in assisting the Postal Service and the Designated Card Provider in determining the facts, circumstances, and other pertinent information related to any loss, theft, or possible unauthorized use of the card(s) and to comply with such procedures as the Postal Service and the Designated Card Provider may require in connection with an investigation.  Contracting Officers must immediately refer all incidents of card theft and unauthorized use to the USPS Office of Inspector General for investigation.  Neither the Postal Service nor the Designated Card Provider is responsible for controlling an authorized user’s use of a card.  The HCR supplier is responsible for all charges made to the card(s) issued by the Designated Card Provider.  The amounts of any unauthorized purchases may be deducted from the HCR supplier’s compensation.  Fraudulent use of the card may subject the person(s) responsible for the fraudulent use to criminal penalties and to  liability for damages of up to three times the amount of the fraudulent transactions and civil penalties pursuant to the False Claims Act (31 U.S.C. § 3729, et seq.), the Program Fraud Civil Remedies Act (31 U.S.C. §§ 3801-3812), and/or other applicable laws. 
The fuel transaction card will record all fuel transactions made by the HCR supplier by capturing detailed information at the fueling location when the HCR supplier uses the fuel transaction card.  The information from the transactions will be used to calculate the actual cost of fuel purchased and the actual gallons used. 
Exceptions – When the fuel transaction card cannot be used, an HCR supplier may 
purchase fuel from sources other than fueling sites designated by the Postal Service 
under the following circumstances: 
1.	1. 	Fuel that is required for breakdowns, emergencies, or interruptions in fuel service. 
2.	2. 	Fueling out of range of a designated fueling facility as agreed by the 
Contracting Officer. 

3.	3. 	Other exceptional circumstances approved by the Contracting Officer. 

Upon receipt of proper documentation (an explanation of the reason for the exceptional purchase; and a receipt that includes the date of purchase, the type of purchase made, the name, location, and telephone number of the supplier of the fuel, the number of gallons purchased, and the cost per gallon), reimbursement may be made to the HCR supplier for the actual cost of fuel purchased for these exceptional situations after approval by the Contracting Officer. 
If the HCR supplier uses a fuel transaction card other than that provided by the Designated Card Provider, the Contracting Officer will determine if the documentation provided by the HCR supplier may be categorized as an exceptional circumstance. 
The Postal Service will only authorize reimbursement to the Bulk Fueling Location or to the Designated Card Provider up to the number of estimated gallons specified in the HCR supplier’s contract.  Gallons authorized by the contracting officer for approved exceptional service will be added to the estimated number of annual gallons.  HCR suppliers will not receive any compensation for estimated or authorized gallons of fuel unused by the end of the contract year. 
On a monthly basis, the Contracting Officer should review the usage of all participants using the fuel transaction card to ensure appropriate usage.  Upon application by HCR suppliers, the Contracting Officer may authorize purchases exceeding the estimated gallons in the contract at his/her discretion.  Suppliers purchasing gallons exceeding their allotted gallons for a prescribed time frame should be contacted.  The Contracting Officer may take any combination of the following actions: 
a) Request the supplier to realign gallons to increase the allowable gallons without increasing the overall price to the Postal Service of the subject contract. 
b) Process a lump sum deduction from contract payments to the HCR supplier for the gallons purchased exceeding the annual estimate of gallons in the subject contract.  Amounts of purchases in excess of the contract’s annual estimated gallons that have not been approved by the Contracting Officer will be deducted from contract payments to the HCR supplier making the unapproved fuel purchases. The Contracting Officer will provide the HCR supplier with written notification 30 days prior to the Postal Service effecting the lump sum deduction.  Lump sum deductions will be calculated using the actual purchase costs recorded in the Fuel Asset Management System for the period of usage exceeding the contract allocation of gallons.  In the case where the contract is no longer in effect, the HCR supplier is responsible for reimbursing the USPS for the actual cost paid by the USPS for the total gallons purchased with the card in excess of the contractual allocation.   
c) Terminate the personal identification number (PIN) for the contract on the fuel transaction 
card. 
d) Choose to reevaluate the supplier’s fuel usage at the next monthly opportunity. 
In addition, at the end of the contract year, the Contracting Officer should review the HCR supplier’s fuel usage and process a lump sum deduction for the dollar amount associated with excess gallons purchased that have not been previously deducted from the HCR supplier’s contract payments.  If the contract is nearing the conclusion of its full term, the Contracting Officer will review the HCR supplier’s fuel usage one month prior to the end of the contract’s term and process any appropriate lump sum deductions from contract payments at that time. 
The burden to prove any discrepancies concerning the amount of the lump sum deduction calculated by the Postal Service occurring on an annual basis rests on the HCR supplier.  The lump sum deduction calculation will consist of the actual purchase costs recorded in the Fuel Asset Management System for the period of usage where the contract allocation of gallons used by the HCR supplier exceeds the designated allotment.   
Fuel Payment Processing – Automated Systems: Fuel Transaction Card – Bulk Fueling Locations 
The USPS Fuel Program Price per gallon shall be provided weekly to the Bulk Fueling Locations. It will be based on the appropriate published price previously negotiated by the Postal Service with the Designated Fuel Supplier (DFS) for the specified geographic site.  It will be effective from 12:00 a.m. Saturday through 11:59 p.m. the following Friday.  The Postal Service may change the frequency or effective period for the USPS Fuel Program Price per gallon at its discretion. 
The Fuel Management Data System (FMDS) will capture information from each transaction that records the number of gallons purchased and the purchase price at the Bulk Fueling Locations.  FMDS will transmit the data to the Fuel Asset Management System (FAMS) which will compile the transactions by contract and process the information for payment to the Bulk Fueling Location.  The payment amount due to the Bulk Fueling Location will be the number of gallons purchased from the Bulk Fueling Location multiplied by the applicable weekly USPS Fuel Program Price per gallon for each transaction..  Guests assigned to Bulk Fueling Locations will have their purchases paid directly by the Postal Service to the Bulk Fueling Location.  Guests will not receive payment for the gallons pumped at Bulk Fueling Locations. 
When payments are made by the Postal Service to a DFS, due to non-payment by a Bulk Fueling Location, all applicable charges, including, but not limited to, late fees, Postal Service administrative costs, and fuel costs will be deducted from a payment to the Bulk Fueling Location for fuel provided by the Bulk Fueling Location for one of the Bulk Fueling Location’s assigned HCR contracts. 
Fuel Payment Processing – Automated Systems: Fuel Transaction Card – Retail Fueling Locations 
The FMDS will capture information from each transaction including the number of gallons of fuel purchased and the purchase price at the retail fueling locations.  FMDS will transmit the data to FAMS which will compile the transactions by contract and process payment to the Designated Card Provider.  The payment amount due the Designated Card Provider will be the number of gallons purchased multiplied by the applicable purchase price per gallon for each transaction.  Retail purchases will be paid directly by the Postal Service to the Designated Card Provider.  HCR suppliers will not be paid for fuel purchased at retail locations.  HCR suppliers may view their transaction activity for each HCR contract at the web site provided by the Designated Card Provider. 
The Postal Service will process a lump sum deduction from the HCR supplier’s contract payments for any fuel purchases made by the HCR supplier at locations other that those specified by the Contracting Officer that were actually paid for by the Designated Card provider.   
Fuel Payment Processing – Automated Systems: 
Monthly Adjustment to the Contract Baseline Fuel Price per Gallon 

At the end of each calendar month, the difference between (1) the current monthly DOE regional fuel index for the applicable fuel type and (2) the DOE Benchmark Index will be calculated.  If the difference is $0.0500 or more per gallon, this difference (increase or decrease) will be applied to the contract’s baseline fuel price per gallon.  This will become the new contract baseline fuel price per gallon for the next month’s review.  The new contract baseline fuel price per gallon will remain in effect until the next monthly adjustment is required. 
The example on the next page provides an illustration of calculating the monthly adjustment. 
Fuel Management Program February 5, 2008 
Example: 
The contract baseline fuel price per gallon is established at $1.99 effective July 1.  The initial DOE Benchmark Index is established at $1.95.  The adjustments would be made as follows: 
Month 	DOE Regional Fuel Index Price 	DOE Benchmark Index 	Change (1) – (2)  	Contract Baseline Fuel Price Per Gallon 	Explanation	 Action Taken 	
				Effective 1st of 			
	(1) 	(2) 		next month 			
		$1.95 		$1.99 	Initial DOE Benchmark 		
					Index = 1.95 		
					Initial Contract Baseline 		
					Fuel Price per Gallon = $1.99 		
July 	$2.05 	$1.95 	$2.05 - $1.95 	$2.09 	The difference equals 	Establish new Contract 	
					$0.1000 per gallon and 	Baseline Fuel Price per Gallon 	
			$0.1000 		equals/exceeds $0.0500 per gallon threshold. 	Effective August 1 	
						Increase the Contract Fuel 	
					New DOE Benchmark Index = $2.05 	Price per Gallon by $0.1000 	
August 	$2.00 	$2.05 	$2.00 - $2.05 	$2.04 	The difference equals 	Establish new Contract 	
					$0.0500 per gallon and 	Baseline Fuel Price per Gallon 	
			($0.05) 		equals/exceeds $0.0500 per gallon threshold. 	Effective September 1 	
						Decrease the Contract Fuel 	
					New DOE Benchmark Index = $2.00 	Price per Gallon by $0.0500 	
September 	$2.02 	$2.00 	$2.02 - $2.00 $0.02 	$2.04 	The difference equals $0.0200 per gallon and does not equal/exceed the $0.0500 threshold. 	No change to Contract Fuel Price per Gallon 	
					No Change to DOE Benchmark Index. 		

Page 9 of 22 
Fuel Management Program February 5, 2008 
Month 	DOE Regional Fuel Index Price 	DOE Benchmark Index 	Change (1) – (2) 	Contract Baseline Fuel Price Per Gallon 	Explanation 	Action Taken 	
				Effective 1st of 			
	(1) 	(2) 		next month 			
October 	$1.80 	$2.00 	$1.80 - $2.00 	$1.84 	The difference equals ($0.2000) per gallon and 	Establish new Contract Baseline Fuel Price per Gallon 	
			($0.20) 		equals/exceeds the $0.0500 	Effective November 1 	
					per gallon threshold  		
						Decrease the Contract Fuel 	
					New DOE Benchmark Index = $1.80 	Price per Gallon by $0.2000 	
November  		$1.80 					

Page 10 of 22 
Fuel Payment Processing – Manual  General 
When fuel payments for an HCR supplier are processed manually, the Contracting Officer should review records of contract payments monthly to identify instances where an HCR supplier is being paid more for its fuel than the costs it has actually incurred for its fuel. 
If the Contracting Officer believes that the cost per gallon in the contract is no longer reflective of the actual purchase experience of the supplier, the Contracting Officer may require the supplier to complete a new certification of the fuel cost for the immediately preceding transportation pay cycle.  The cost per gallon on the cost statement will be changed only if the price per gallon in the area where the fuel is purchased exceeds the current cost per gallon on the cost statement by $0.05. 
Fuel Payment Processing – Manual One-Line Adjustment to the Cost Statement 
For all routes that purchase fuel other than diesel or gasoline, one-line fuel adjustments, when requested in writing by the supplier, accompanied by a proper fuel certification, and submitted to the Contracting Officer will be processed. 
All cost adjustments for fuel are based on the change in the actual price per gallon.  The HCR supplier must furnish a Fuel Purchase Form (HC 131) for the price of all fuel purchased during the certification period.  HCR suppliers may file for a fuel adjustment in the form of a one-line adjustment request when the average price of fuel changes by $0.0500 or more per gallon from the unit cost allowed in the last approved cost statement. 
Increases or decreases in fuel cost are based on the allowed gallons shown on the last approved cost statement multiplied by the average price per gallon for the period shown on the certification.  The average cost per gallon is a weighted average based on the quantity of the fuel purchased at each price. 
The Contracting Officer will evaluate the certification and determine if it is reflective of the local market conditions. Once the Contracting Officer determines that the HCR supplier’s certified fuel price is fair and reasonable, the new fuel allowance will be computed. 
The fuel allowance will be recomputed on the basis of the new certification if the change in the established contract price per gallon has been $0.0500 or more per gallon.  The effective date of the new contract price per gallon will be the first day of the Transportation Pay Cycle that began during the certification period. 
Purchasing Fuel from a Designated Source - General 
An HCR may be directed to purchase fuel from designated sources depending upon the fuel requirements of the HCR and the availability of the sources.  If an HCR supplier secures fuel in bulk, the Contracting Officer may direct the HCR supplier to purchase all of its fuel requirements for Postal Service business from a Designated Fuel Supplier (DFS).  If an HCR supplier purchases retail fuel for its Postal Service business, the Contracting Officer may direct the HCR supplier to employ specific fueling locations.  The fueling location may be a bulk fueling location or a retail location. 
Purchasing Fuel from a Designated Source – Bulk Fueling Location Product 
The Bulk Fueling Location must purchase ultra-low sulfur No. 2 diesel fuel when it is mandated by Federal, State, or local regulations for the location in which the Bulk Fueling Location resides or, during the winter season or periods of low temperatures, commercially accepted diesel fuel for low temperature operations in compliance with the American Society for Testing and Materials (ASTM) Standard Specification D 975 (Latest Version). 
Purchasing Fuel from a Designated Source – Bulk Fueling Location  Site Survey 
The HCR supplier must allow the Designated Fuel Supplier access to its property to conduct a site survey prior to the first delivery.  The site survey will enable the offeror to verify the delivery method and to determine the necessary equipment, i.e., couplers and any other site specific equipment required to safely deliver to the Bulk Fueling Location. 
Purchasing Fuel from a Designated Source – Bulk Fueling Location Ordering 
The DFS may not deliver fuel to a Bulk Fueling Location without an order.  Orders shall be confirmed in writing by the Bulk Fueling Location.  Writing constitutes any method, electronic, or paper, where storage of the order is possible.  An order may be placed by telephone but shall be followed up in writing within 24 hours.  The DFS will accept orders 24 hours per day, 7 days a week.  The Bulk Fueling Location shall place orders at least 24 hours in advance of the required delivery time.  Orders placed less than 24 hours in advance may be filled at the requested time at the discretion of the DFS and if filled, shall be considered a proper order.  An order shall not require the DFS to deliver fuel outside of the DFS’s normal business hours.  An order from the Bulk Fueling Location shall contain, at a minimum, the following elements: 
1.	1. Bulk Fueling Location name 
2.	2. Name of individual placing the order 
3.	3. Quantity ordered in gallons 
4.	4. Product ordered 
5.	5. Delivery date and time 
6.	6. Delivery address 
7.	7. Delivery tank (if the site contains multiple tanks) 
8.	8. Special Equipment required (i.e., pump) 

Upon receipt of a proper order, the DFS is obligated to deliver fuel to the Bulk Fueling Location.  The DFS is required to provide verification of receipt of the order back to the Bulk Fueling Location. Upon transmittal of the verification, the DFS has acknowledged that this order placed by the Bulk Fueling Location is valid and that the DFS will comply with the order document.  The DFS is not obligated to deliver fuel until a proper order is placed. 
Purchasing Fuel from a Designated Source – Bulk Fueling Location  Delivery 
Delivery may be F.O.B. destination or F.O.B. origin.  F.O.B. destination deliveries are deliveries made by the DFS into the Bulk Fueling Location’s fueling tanks.  F.O.B. origin deliveries are deliveries made into the Bulk Fueling Location’s transportation carrier’s trucks. 
The DFS shall deliver to the Bulk Fueling Location in accordance with the written order.  The DFS shall deliver during the Bulk Fueling Location’s operational hours and within 4 hours of the requested delivery time indicated on the written order.  If delivery is not made within this time period, it is considered “late.”  The DFS is required to provide all equipment and personnel necessary to deliver the fuel into the Bulk Fueling Location’s tanks.  Each delivery is required to be free from all water bottoms prior to discharge and the DFS is responsible for the removal and disposal if water bottoms occur. 
The DFS personnel are required to be trained and use reasonable care to not damage the Bulk Fueling Location’s property.  If the DFS causes property damage, the DFS is required to repair the damage or replace the damaged property.  The USPS is not liable for any damage caused by the DFS to the Bulk Fueling Location’s property. 
The Bulk Fueling Location shall inspect and accept the delivery of diesel fuel.  Inspections should be performed according to industry standards and shall include a visual inspection of the fuel to ensure the fuel is clear and bright.  The Bulk Fueling Location shall provide the DFS a signed acceptance document that verifies receipt of the fuel and the quantity delivered.  The bill of lading document will contain the following elements:  
A. Bulk Fueling Location name and address 
B. Date of delivery 
C. Product delivered 
D. Quantity delivered (Gross & Net) 
E. Signature and the printed name of the signer.   
The individual signing the acceptance document shall be authorized by the Bulk Fueling Location to accept fuel on behalf of the location.  Title for the fuel transfer from the DFS to the Bulk Fueling Location will occur upon safe discharge into the receiving tank and signature of the transfer document. 
In cases of late delivery, the Bulk Fueling Location may not accept the delivery.  The Bulk Fueling Location shall notify the DFS and the USPS DFS Contracting Officer’s Representative (COR) of the late delivery. The USPS DFS COR will contact the DFS.  If Force Majeure circumstance causes a delivery to be late, the DFS shall notify the Bulk Fueling Location of the circumstances and make arrangements to re-schedule the delivery. 
The DFS shall provide 1 hour of free time to the Fuel Site.  If the DFS is delayed at the Bulk Fueling Location over the 1 hour of free time, the DFS is allowed to charge the Bulk Fueling Location demurrage costs.  These costs shall not be in excess of the demurrage charges the DFS normally charges their best commercial customer.  If requested, the DFS is responsible to substantiate their commercial demurrage rate to the USPS DFS COR. 
An F.O.B. origin delivery is a delivery where the DFS delivers fuel from a terminal or refinery into a transportation company under the authority or contract of the Bulk Fueling Location. If the Bulk Fueling Location prefers to use its own independent fuel transportation company, the DFS will arrange for the transportation company to secure fuel at the USPS Fuel Program Price per Gallon.  The DFS will identify the terminal at which the Bulk Fueling Location’s transportation company will load its trucks.  If the Bulk Fueling Location’s transportation company prefers to use another terminal site other than the terminal designated by the DFS, the DFS shall make reasonable efforts to arrange for fuel to be loaded at that terminal or refinery at the contract price.  However, if the fueling site is unable to arrange fuel at the USPS Fuel Program Price per Gallon at the preferred terminal of the transportation company, the Bulk Fueling Location will instruct its transportation company to pick up fuel at the location specified by the DFS. 
For F.O.B. origin deliveries, the title for the fuel will transfer from the DFS to the Bulk Fueling Location upon loading of the Bulk Fueling Location’s truck transportation.  The Bulk Fueling Location assumes all liability of transportation and delivery of the fuel once it is loaded into the Bulk Fueling Location’s transportation vehicle. 
Purchasing Fuel from a Designated Source – Bulk Fueling Location Inspection and Acceptance 
Inspection shall take place before the fuel is loaded into the Bulk Fueling Location’s transportation or if F.O.B. Destination, into its tanks.  Inspections should be performed according to industry standards and shall include a visual inspection of the fuel to ensure the fuel is clear and bright. The Bulk Fueling Location (through its transportation company, if F.O.B Origin) shall provide the DFS a signed acceptance document that verifies receipt of the fuel and the quantity delivered.  The bill of lading document will contain the following elements:  
A. Bulk Fueling Location name and address 
B. Date of delivery 
C. Product delivered 
D. Quantity delivered (Gross & Net) 
E. Signature and the printed name of the signer. 
The individual signing the acceptance document shall be authorized by the Bulk Fueling Location to accept fuel on behalf of the location. 
If a Bulk Fueling Location does not accept a delivery, the Bulk Fueling Location must immediately notify the DFS prior to the release of the delivery vehicle documenting why it is unacceptable. Notification may initially be communicated by telephone but is required to be followed up in writing within 24 hours. The DFS will work with the Bulk Fueling Location to correct the problem that caused the unacceptable delivery and notify the USPS DFS COR in writing of the actions taken to resolve the problem. The Contracting Officer and USPS DFS COR shall also be provided with verbal and written notification of unsatisfactory service, such as: dirty equipment, environmental hazards, incompetent personnel, inappropriate behavior, or unsafe equipment. 
The Bulk Fueling Location may at its discretion accept nonconforming product.  In such cases, the DFS will obtain a waiver, in writing, from the Bulk Fueling Location.  If the DFS delivers nonconforming product to the Bulk Fueling Location without a waiver from the Bulk Fueling Location and causes the fuel tank to become off specification, the DFS shall be responsible for bringing the tank back into specification.  The USPS may assess damages to the DFS for additional costs incurred by the USPS during the period that the Bulk Fueling Location’s tank was off specification and out of service due to the negligence of the DFS.  To prove a tank is on-specification, the DFS must send a tank sample to an accredited laboratory for testing.  The laboratory test results showing the fuel tank is on-specification will be provided to the USPS DFS COR and the Bulk Fueling Location. 
Purchasing Fuel from a Designated Source – Bulk Fueling Location  Fuel Spills 
The DFS is responsible to take all necessary measures to prevent spills and must be in compliance with federal, state, and local spill prevention regulations.  Should a spill occur, the DFS is responsible for clean up and remediation of the spill site as well as any fines levied by government agencies.  The DFS will notify the USPS DFS COR and the Bulk Fueling Location in writing in the event of a spill and provide remedial action taken to clean up the spill and restore the site. 
Purchasing Fuel from a Designated Source – Bulk Fueling Location Determination of Delivered Fuel Quantity 
The quantity of fuel delivered by the DFS shall be determined as follows:  
.	a. 	If the truck is equipped with a meter the meter shall be used to determine invoice quantity. 
.	b. 	If the truck is not equipped with a meter, one of the following methods may be used to determine invoice quantity: 

i. 	Weight, using calibrated scales 
ii. 	A calibrated meter on the receiving tank system 
iii. 	Gauging the delivery vehicle provided that the driver is able to produce a certified capacity table for the vehicle. 
.	iv. 	Certified tank calibration markers.  Certified tank calibration markers will not be used unless the vehicle is full to the marker and the entire quantity is off loaded at the Fueling Site.  This method may not be used in areas where environmental restrictions prohibit the opening of dome hatches. 
.	v. 	Provide the Bulk Fueling Location with the net quantity determined at the loading point by a calibrated loading rack meter or calibrated scales provided that the quantity is mechanically imprinted on the meter ticket generated by the loading rack meter or scale and provided that the entire quantity is off loaded at the Bulk Fueling Location. 

Unless a meter is used to determine quantity as stated above, all delivered quantities must be temperature volume corrected to 60 degrees Fahrenheit utilizing Table 6B of the API Manual of Petroleum Measurement Standards. 
The Postal Service will use the FMDS as the official source for fuel quantity data unless there is documentation from the FDMS provider that states otherwise.  
Purchasing Fuel from a Designated Source – Bulk Fueling Location  Emergencies 
The DFS maintains an ‘emergency / problem’ phone number that is staffed 24 hours per day, 7 days per week.  It is available to assist the Bulk Fueling Location operator in the event of an emergency.  The ‘emergency / problem’ phone number shall be furnished to the Bulk Fueling Location by the DFS 
Purchasing Fuel from a Designated Source – Bulk Fueling Location Low Temperature Operations Blending Percentages 
During the winter season or periods of low temperatures, the DFS shall deliver commercially accepted diesel fuel for low temperature operations.  The DFS will blend either kerosene or ultra low sulfur No. 1 diesel fuel with the ultra low sulfur No. 2 diesel fuel. For Bulk Fueling Locations requiring blended diesel fuel for low temperature operations, the DFS shall provide blended fuel that is appropriate for the current conditions. 
Low Temperature Operations Blending Percentages 	
Month 	Low Sulfur No. 2 Diesel Fuel Percentage 	Low Sulfur No. 1 Diesel Fuel or Kerosene Percentage 	
September 	90% 	10% 	
October 	80% 	20% 	
November 	70% 	30% 	
December/January/February 	60% 	40% 	
March 	70% 	30% 	

Reimbursement to the Bulk Fueling Locations requiring blended diesel fuel will be at an unblended diesel fuel price.  The Bulk Fueling Location will submit monthly documentation to the TAM CMC that shows blended fuel invoice data and transaction data showing total number of gallons reimbursed.  The TAM CMC will reimburse the total monthly “under-reimbursed” amount in the form of a lump sum payment. The preceding table shows the highest blend ratio the USPS will reimburse for the specified time frames.   
Reimbursement to the Bulk Fueling Location that requires use of an additive for winterization purposes will also be made.  The Bulk Fueling Location must submit monthly invoice documentation to the Contracting Officer that shows the additized fuel purchase and also transaction data that shows the total number of reimbursed gallons for the specified month.  Reimbursement will only be made for additives used for winterization purposes.  
Purchasing Fuel from a Designated Source – Bulk Fueling Location Payment to DFS 
The DFS shall submit invoices to the Bulk Fueling Location responsible for payment.  The Bulk Fueling Location is responsible for providing an invoice submission address to the DFS.  The invoice price per gallon shall reflect the market price, differential, and taxes applicable for the day of delivery.  The DFS is responsible to include all Federal excise taxes, state environmental taxes, other state fees or taxes and local/municipal fees/taxes accrued to the Bulk Fueling Location in its invoice.  These taxes must be collected from the Bulk Fueling Location of the fuel, except when the Bulk Fueling Location has provided an exemption certificate. 
If a DFS delivers fuel during low temperature operations and uses a mix of low sulfur No. 2 diesel fuel and kerosene or low sulfur No. 1 diesel fuel as required, the DFS shall price the invoice in accordance with the exact percentages listed in the preceding table. 
The DFS shall not invoice the Bulk Fueling Location for transportation expenses for F.O.B. origin deliveries. 
If the DFS incurred demurrage costs, these costs shall be invoiced as a separate line item in the invoice. Documentation of the demurrage costs shall be submitted with the invoice. 
The Bulk Fueling Location is responsible to pay a proper invoice within the DFS payment terms.  The Bulk Fueling Location is responsible to review the invoice and verify delivery quantity and per gallon unit price.  The Bulk Fueling Location will first attempt to resolve any invoice discrepancies directly with the DFS.  If the Bulk Fueling Location and the DFS are unable to resolve the invoice discrepancy, the Bulk Fueling Location will contact the USPS DFS COR for guidance.  
The DFS will offer credit terms of net 30 days to the Bulk Fueling Locations.  Bulk Fueling Locations must complete forms, provide requested information, and sign the DFS’s credit agreement.  The Bulk Fueling Location will not be required to establish a Letter of Credit for the DFS; buy may be requested to establish a line of credit for the fuel purchases with the DFS.  If the Bulk Fueling Location does not make payments within the specified 30 days, the DFS can assess ‘carrying or late payment fees’ to the Bulk Fueling Location’s account.  The DFS may revoke the credit agreement of a Bulk Fueling Location that consistently does not make timely payments. 
Bulk Fueling Locations where credit has been revoked must agree to payment by electronic funds transfer or other acceptable payment method. 
The DFS shall notify the USPS DFS COR and the DFS Contracting Officer that a particular Bulk Fueling Location has not made payments in accordance with signed credit agreement.  The DFS Contracting Officer with notify the cognizant DN Contracting Officer.  Upon receipt of documentation, the DN Contracting Officer shall make arrangements to deduct the subject fuel payment(s) and ‘carrying fee’ from the Bulk Fueling Location’s next scheduled payment. 
Purchasing Fuel from a Designated Source – Bulk Fueling Location Non-Performance of the DFS 
If the DFS cannot or will not deliver adequate diesel fuel to a Bulk Fueling Location within the agreed upon time frame, the following actions may be taken. 
A. 	The DFS will arrange for fuel to be delivered by another supplier at no additional cost to the Bulk Fueling Location. 
B. 	The DFS will notify the Bulk Fueling Location that it is unable or unwilling to make delivery. The Bulk Fueling Location may consider the DFS’s failure to notify as the supplier’s inability or unwillingness to make delivery.  The Bulk Fueling Location would then be authorized to obtain fuel from an alternate source and provide verbal and written notice to the USPS DFS COR and the DFS.  The DFS shall reimburse the Bulk Fueling Location for additional costs incurred.  Additional costs are defined as the difference between the USPS Fuel Program Price per gallon in effect for the original delivery date and the price paid by the Bulk Fueling Location when delivery is received.  
C. 	The Bulk Fueling Location may obtain additional diesel fuel through sources it deems appropriate in order to meet the operational needs of the USPS.  The DFS shall reimburse the Bulk Fueling Location for additional costs incurred defined as difference between the USPS Fuel Program Price per gallon in effect for the original delivery date and the price paid by the Bulk Fueling Location when delivery is received. 
Pooling 
Pooling refers to the process that allows suppliers with multiple contracts that utilize the same vehicles in various forms across the contracts to use the collective contract fuel allocation (Line 6) as the base against which the collective gallon usage is measured.  NOTE: Pooling does not change the individual contract fuel allocation.   
Any HCR supplier with more than one intra-area contract may request approval from the Contracting Officer to pool gallons for contracts that are administered from that DN office in advance of the fuel year.. When an HCR supplier has contracts with more than one DN office, requests for pooling gallons should be reviewed by the Contracting Officer.  At the recommendation of the Contracting Officer, the request will be submitted to the Manger, Surface Transportation for approval. 
HCR suppliers are expected to manage the Personal Identification Numbers (PINs) to correctly allocate fuel to the proper contract.  It is realized however in some instances based upon maintenance operations, line of travel, or method of operations that fuel purchased for performance of one Postal Service contract may be utilized on another Postal Service contract.  Pooling allows for these instances and provides all parties the ability to work with the net gallons allocated for all contracts.  The pooling process is complete once the net gallon usage has been properly aligned in the Fuel Asset Management System.  If an HCR supplier is over the allocation on at least one contract, a corresponding Fuel Asset Management System entry may be required.  The change of allocation in the Fuel Asset Management System does not alter the contract gallon allocation.   
Definitions 
•	Automated System – 
Bulk Fueling Locations:  The Fuel Management Data System is installed and fully 
operational at a Bulk Fueling Location, the fuel transaction cards have been issued to the 
HCR supplier, data is fed to the Fuel Asset Management System and payments to the 
Bulk Fueling Location or to the Designated Card Provider are processed without manual 
intervention.  At the inception of this process, the contract’s price per gallon is set to zero 
on Line 6 of the subject contract’s cost statement. 
Retail: The fuel transaction cards have been issued to the HCR supplier, data is fed to the Fuel Asset Management System and payments to the Designated Card Provider are processed without manual intervention.  At the inception of this process, the contract’s price per gallon is set to zero on Line 6 of the subject contract’s cost statement. 
Fuel Index Adjustment to the Contract Baseline Fuel Price per Gallon:  The Postal Service’s contract management system is capable of calculating and applying the adjustment to the subject contract’s compensation automatically. 
.	•	Bulk Fueling Location – An HCR supplier with pumps and bulk tanks that fuels its own vehicles with wholesale fuel purchased from a Designated Fuel Supplier (DFS).  Under a separate contract, a Bulk Fueling Location may agree to dispense fuel purchased from a Designated Fuel Supplier (DFS) to other HCR suppliers (Guests). 
.	•	Bulk Fuel Purchase – Fuel purchases delivered to either above ground or underground storage tanks. 
.	•	Contract Baseline Fuel Price per Gallon – The initial price per gallon of fuel established for the contract or the revised price per gallon after a fuel index adjustment has been made. 
.	•	Contract Year – The time period commencing with the first day of the contract and ending 364 consecutive days later.  The 366th day of the contract term begins the second contract year and ends 364 days later.  Each subsequent contract year begins 366 days following the previous contract year’s commencement date.  In the case of leap year, 365 days would be added to the first day of given contract year; the subsequent contract year would begin on the 367th day. 
	•	Department of Energy (DOE) Regional Fuel Index Price – The DOE is the source of official energy statistics from the U.S. Government.  These statistics are available at http://tonto.eia.doe.gov/oog/ftparea/wogirs/xls/psw17.xls (Data Tab 2, Monthly) 
	The applicable DOE regional fuel index price is defined by the fuel type and the purchase location of the fuel. The Market Area Codes listed in the table below define the DOE regions.  DOE provides a fuel index for each fuel type for each area. 
.	•	Department of Energy (DOE) Benchmark Index - The DOE regional fuel index average for the last period at which an adjustment was made to the contract baseline fuel price per gallon for all contracts for the given fuel type. 
.	•	Designated Card Provider – The fuel transaction card company chosen by the Postal Service to provide the means to record HCR supplier fuel transactions. 
.	•	Designated Fuel Supplier (DFS) – A petroleum provider selected by the Postal Service who is responsible for furnishing fuel and arranging for the transport and delivery of fuel to designated Bulk Fueling Locations. 
.	•	Fuel – Fuel for highway use reimbursed by the Postal Service shall be either unleaded gasoline (87 Octane) or diesel #2 in accordance with ASTM D 975.  Additional costs for grades not specified herein will not be reimbursed. 
.	•	Fuel Asset Management System (FAMS) – A Postal Service information system designed to receive fuel transaction information and to calculate reimbursement for HCR suppliers or Designated Fuel Card Providers for fuel expenses. 
.	•	Fuel Management Data System (FMDS) – The hardware and software system installed at the bulk fueling locations to automatically collect and transmit information for fuel transactions. 
.	•	Fuel Transaction Card – The mechanism used to capture fuel transaction information at the pump. 
.	•	Guests - HCR suppliers assigned to Bulk Fueling Locations.  These HCR suppliers are not companies that are owned, wholly or in part, by the owner of the assigned Bulk Fueling Location. 
.	•	Pooling - The process that allows suppliers with multiple contracts that utilize the same vehicles in various forms across the contracts to use the collective contract fuel allocation (Line 6) as the base against which the collective gallon usage is measured. 
.	•	Premium Grade - An HCR supplier will not be paid for the additional cost of premium grade of either diesel or gasoline.  A premium grade is any other grade of gasoline other than 87 octane.  For diesel fuel, the HCR supplier will only be paid for on-road diesel fuel and, if required, additives for winterization.    
.	•	Monthly DOE Regional Fuel Index - The DOE regional monthly indices for the respective month by fuel type by region. 
.	•	Retail – Commercial fueling locations where fuel is purchased for an individual vehicle.  When a Guest purchases fuel at a designated bulk fueling location, the purchase is categorized as bulk. 
.	•	Transportation Asset Management Category Management Center (TAM CMC) – The organization located at Postal Service Headquarters responsible for managing fuel for the Postal Service. 
.	•	Transportation Pay Cycle (TPC) – Time period defined by the Postal Service for calculating payment to the HCR supplier. 
.	•	USPS Fuel Program Price per Gallon – The price per gallon of fuel including all applicable charges provided to all Bulk Fueling Locations. 

Market Area Code 	Market Area 	State 	State Code 	
1A 	New England 	Maine 	ME 	
1A 	New England 	New Hampshire 	NH 	
1A	 New England 	Vermont 	VT 	
1A	 New England 	Massachusetts 	MA 	
1A	 New England 	Connecticut 	CT 	
1A 	New England 	Rhode Island 	RI 	
1B 	Central Atlantic 	New York 	NY 	
1B 	Central Atlantic 	Pennsylvania 	PA 	
1B 	Central Atlantic 	New Jersey 	NJ 	

Page 19 of 22 
Market Area Code 	Market Area 	State 	State Code 	
1B 	Central Atlantic 	Delaware 	DE 	
1B 	Central Atlantic 	Maryland 	MD 	
1B 	Lower Atlantic 	District of Columbia 	DC 	
1C 	Lower Atlantic 	West Virginia 	WV 	
1C 	Lower Atlantic 	Virginia 	VA 	
1C 	Lower Atlantic 	North Carolina 	NC 	
1C 	Lower Atlantic 	South Carolina 	SC 	
1C 	Lower Atlantic 	Georgia 	GA 	
1C 	Lower Atlantic 	Florida 	FL 	
2 	Midwest 	North Dakota 	ND 	
2 	Midwest 	South Dakota 	SD 	
2 	Midwest 	Nebraska 	NE 	
2 	Midwest 	Kansas 	KS 	
2 	Midwest 	Oklahoma 	OK 	
2 	Midwest 	Minnesota 	MN 	
2 	Midwest 	Iowa 	IA 	
2 	Midwest 	Missouri 	MO 	
2 	Midwest 	Wisconsin 	WI 	
2 	Midwest 	Illinois 	IL 	
2 	Midwest 	Michigan 	MI 	
2 	Midwest 	Indiana 	IN 	
2 	Midwest 	Ohio 	OH 	
2 	Midwest 	Kentucky 	KY 	
2 	Midwest 	Tennessee 	TN 	
3 	Gulf Coast 	New Mexico 	NM 	
3 	Gulf Coast 	Texas 	TX 	
3 	Gulf Coast 	Arkansas 	AR 	
3 	Gulf Coast 	Louisiana 	LA 	
3 	Gulf Coast 	Mississippi 	MS 	
3 	Gulf Coast 	Alabama 	AL 	
4 	Rocky Mountain 	Montana 	MT 	
4 	Rocky Mountain 	Idaho 	ID 	
4 	Rocky Mountain 	Wyoming 	WY 	
4 	Rocky Mountain 	Utah 	UT 	
4 	Rocky Mountain 	Colorado 	CO 	
5 	West Coast 	Washington 	WA 	
5 	West Coast 	Oregon 	OR 	
5 	West Coast 	Nevada 	NV 	
5 	West Coast 	Arizona 	AZ 	
5 	West Coast 	Alaska 	AK 	
5 	West Coast 	Hawaii 	HI 	
5 Gas only 6 Diesel only 	California 	California 	CA 	
5 	West Coast 	Guam 	GU 	
1C 	Lower Atlantic 	Puerto Rico 	PR 	
1C 	Lower Atlantic 	Virgin Islands 	VI 	

Page 20 of 22 
Indicate the method of purchase you will be using during the term of this contract.  If more than one method of purchase will be used, show the estimated percentage ratio for each fuel type.  Note that retail purchases must be self-service, whenever available, and in accordance with the percentages annotated below. 
Method and Type of Fuel Purchase 	Percentage of Gallons 	
Bulk 	(Yes or No) 		CONTRACTING OFFICE 	
Diesel 			USE ONLY 	
Unleaded 			Invoices verified by: 	
Other (Specify) 				
Retail 				
Diesel 			Effective Date: 	
Unleaded 				
Other (Specify) 			Allowable Rate: 	
Total Percentage (Must Equal 100%) 	Note: Premium grade fuel will not be reimbursed 			

Fuel Purchase Information 	Yes or No 	If Yes, then: 	
Daily Purchase 		List purchases following the instructions on the reverse side of this form 	
Bulk Purchase 		Complete information below 	
Monthly Billing Purchase 		Complete information below 	

Date of Bulk Purchase or Invoice Date 	Number of Gallons 	Purchased from (Station or Dealer) 	Cost per Gallon 	Total Cost 	

					
Total Gallons 					

List all Fueling Locations for the Route for the Monthly Period (Attach additional sheets, if necessary) 
Name of Fueling Location 	City 	State 	Gallons 	

Fuel Certification, If Applicable 
Note: When certifying fuel for a monthly period, actual receipts or copies must be included with this form.  Fuel receipts MUST, at a minimum, clearly identify the date, name of supplier, type of product purchased, and total cost of the product purchased.  Receipts and / or invoices should be for fuel only.  (Do not include other items purchased.)  Processing of your certification may be delayed if above items are not listed on the receipts. 
Certification dates:  Monthly period covering __________ through _______________ Computation:  (1) / (2) = (3) where: 
(1) Total Fuel Purchase Cost Minus Discounts 		
(2) Total Gallons Purchased  (Number of Gallons from PS Form 7463) 		
(3) Price Per Gallon 		
Requested Annual Cost to Enter in Column II 		

The supplier MUST notify the Contracting Officer of a permanent change in the manner in which the supplier purchased fuel and must change the Fuel Purchase Form. Failure to do so may result in termination of the contract for default.  Information as outlined above is subject to audit. 
U.S. Code, Title 18 (Crimes and Criminal), Section 1001, makes it a criminal offense to make a willfully false statement or representation herein. I certify the fuel used on this route, totally or in part was ( ) was not ( ) purchased from a firm in which the supplier has a business interest, i.e., the firm is a subsidiary company, a company owned or controlled by the supplier or a firm in which the supplier is in a position to exercise some management either directly or indirectly. 
I certify that the above information is accurate and complete to the best of my knowledge. 
Date: _____________ Signature (Original): _______________________________________________________ 

HC131, February 2006 
DAILY PURCHASES List each purchase separately (MONTHLY PERIOD ONLY) 
Purchased from Station or Dealer 
Purchase 
Name 
State 
Number of 
Cost per 
Total Fuel Dates 
Gallons 
Gallon 
Purchase Cost
Street Address 

(Start with Most 
City 

Recent 
Phone Number 
Date) 
TOTAL GALLONS = 
TOTAL COST OF 
FUEL = 
Add total 
Add total cost of number of 
fuel. Place total here gallons. 
and in (1) on the Place total 
reverse side here and in 
(2) on the reverse side. 
HC131, February 2006 
Attach additional sheets as necessary.
Be sure to include the supplier name on all attachments. 

List your company name, mailing address and phone number.  All Tax Identification Numbers (TINS) and vehicles listed below will fall under one supplier account.  This does not impact the current U. S. Postal Service (USPS) process by which the contracts are managed or paid.  This is only to ensure we have correctly captured your information.  Additionally, Voyager will be sending all cards to the address indicated on the mailing label of this package.  All card-[s should be sent to a single address for security purposes.  If you wish to change that address, please do so on the line below. 
List of TCSS Supplier ID Numbers that will be operating under this account (REQUIRED) 
(Example: ABC Trucking is your company name. However, ABC Trucking also operates XYZ Inc. and QRS Ltd. The vehicles may be used by all three companies.  The supplier ID numbers for all three companies should appear in the space below.)  Sheets without this information will be returned and not processed.   

Number (#) of drivers operating routes for this company (ies): _______ 

Please list all HCR contract (route) numbers for each TIN listed above: 

List the vehicle information requested below for all vehicles performing USPS service under the TINs listed above. 
VIN Number Vehicle Number** Make 	Model Year 
**The vehicle number is assigned by the supplier as a means to identify its equipment.  If you do not currently have vehicle numbers assigned to your equipment leave the vehicle number blank and we will default to a sequential numbering beginning with 1.  This number will appear on the Voyager Card that is issued for that vehicle. 
Please Note: 
.	•	All transaction cards will be sent to the address of the company name used above 
.	•	PIN numbers will be assigned to each route and will be available for assignment to each driver.  The PIN usage scenarios will be forwarded in a later mailing. 
.	•	Return this sheet to the Distribution Networks Office. 

Effective Date (To Be Completed by DNO):______________________ 
Vehicle Information Sheet, February, 2008