Explanation
BACKGROUND: This ordinance authorizes the Director of Public Utilities to modify Contract Number CT09743 with American Municipal Power, Inc. to provide funding for the purchase of wholesale electricity for the Division of Power and Water.
Amount of additional funds to be expended: $1,400,000.00.
Reasons additional goods/services could not be foreseen: The Division of Power and Water (Power) currently contracts with American Municipal Power, Inc. for the purchase of wholesale electricity. Ord. 0097-2009, passed February 23, 2009, authorized increases of these contracts for purchases in 2009; however, the amount estimated for the power contract was insufficient to cover the actual costs that will be incurred for the remainder of 2009 and until such time that funds will be available in 2010.
Reason other procurement processes are not used: American Municipal Power, Inc. is a non-profit organization for state municipalities and, acting as a broker, has contracted competitive prices on the City's behalf through a bidding process.
How cost of modification was determined: This modification is based upon estimated requirements for the remainder of 2009 at rates as established in the existing contract.
Contract Compliance Number: 310943223, expires 01/24/2010
American Municipal Power, Inc. does not hold MBE/FBE status.
FISCAL IMPACT: There will be no fiscal impact on the 2009 budget as the actual costs incurred on another purchase power contract with American Electric Power have been less than anticipated and that contract has been reduced accordingly, thereby keeping total expenditures within the existing budget. The total amounts spent for purchase power in 2007 and 2008 were $53,866,755 and $53,763,139, respectively.
Title
To authorize the Director of Public Utilities to modify the contract for the purchase of wholesale electric power with American Municipal Power, Inc. for the Division of Power and Water and to authorize the...
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