Explanation
BACKGROUND:
This ordinance authorizes the Director of Public Utilities to modify and increase the Master Services Agreement (MSA) with American Municipal Power, Inc. (AMP, Inc.) to provide funding for the purchase of wholesale electricity and associated services in 2026 for the Division of Power. The funds authorized by this ordinance will cover the costs of power supply and additional ancillary services provided by AMP, Inc., such as diesel generator maintenance, representation on federal power issues, staff training, participation in journeyman lineworker safety and training programs, participation in the Community Energy Savings Smart Thermostat Program, and customer development services.
Ordinance 1108-2023 authorized the Director of Public Utilities to conduct a modified request for proposal (RFP) process to negotiate with multiple suppliers and to select a supplier to fulfill the Division of Power’s electric power supply requirements for a one-year term beginning January 1, 2026 and extending for up to three one-year renewal periods. That ordinance also authorized the awarding of and entering into such a power supply agreement. AEP Energy Partners, Inc. was awarded the bid, however the Division of Power desires to continue its membership with AMP due to the additional services offered, as well as the allocation of the New York Power Authority’s hydroelectric power that is received via AMP. As a municipal system in a border state of the Great Lakes, the DOP continues to receive a small allocation of hydroelectric power from the New York Power Authority. This allocation has been utilized by the City since the 1980’s.
This requested modification also seeks to extend the current term of the Community Energy Savings Smart Thermostat Program Schedule, which was attached to the MSA by Modification No.24 and Ord #3132-2025, by one (1) year to March 31, 2027.
This Ordinance is being submitted in accordance with the relevant provisions of Chapter...
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