Explanation
Background: This ordinance authorizes the Finance and Management Director to establish purchase orders with the Central Ohio Transit Authority (COTA) for the purchase of compressed natural gas (CNG) for fueling use by City of Columbus vehicles. The City of Columbus and COTA have jointly constructed a satellite compressed natural gas fueling facility on COTA's property, located at 1400 McKinley Avenue. This fueling facility is owned and operated by COTA, but is subject to certain access and use rights of the City of Columbus for the purpose of fueling City vehicles. In connection with the construction of this fueling facility, the City and COTA entered into a Facilities Operating Agreement. This seven (7) year agreement was entered into in 2015 and authorizes the City to fuel its vehicles at the facility and automatically renews for six (6) consecutive terms of seven (7) years each. September 30th 2024 was the third (3) of the seven (7) automatic renewals on the second seven year term. This agreement also establishes the cost of the CNG fuel purchased from COTA by the City. The fuel cost is a floating rate based on the following cost elements; natural gas commodity cost, electricity rate at the fueling facility, cost of maintenance of equipment, insurance costs associated with the facility, and certain capital infrastructure costs. The City has been fueling at the COTA site since 2018.
Central Ohio Transit Authority Certification Number CC-004318
Fiscal Impact: This ordinance authorizes an expenditure of $150,000.00 from the Fleet Management Operating Fund with COTA for compressed natural gas for fueling use by City vehicles. In 2024 $150,000.00 was expended, In 2023 $150,000.00 was expended, in 2022 $100,000.00 for compressed natural gas fuel.
Emergency action is requested to ensure that purchase orders can be established in a timely manner to ensure uninterrupted fueling services, thereby keeping vehicles in operation.
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