City of Columbus - File #: 0748-2009

• File #: 0748-2009
• Version: 1
• Type: Ordinance
• Status: Passed
• File created: 5/13/2009
• In control: Utilities Committee
• On agenda: 6/1/2009
• Final action: 6/3/2009
• Title: To authorize the City Attorney's Office to modify and extend its existing contract with McNees, Wallace & Nurick LLC to provide specialized legal service regarding issues related to the purchase of power for the Division of Power and Water for the years 2012 to 2014, and to authorize the expenditure of $50,000.00 from the Division of Electricity Operating Fund; and to declare an emergency. ($50,000.00)

Date	Ver.	Action By	Action	Result
6/3/2009	1	MAYOR	Signed
6/3/2009	1	CITY CLERK	Attest
6/1/2009	1	Columbus City Council	Approved	Pass
6/1/2009	1	COUNCIL PRESIDENT	Signed
5/21/2009	1	Utilities Drafter	Sent for Approval
5/21/2009	1	CITY ATTORNEY	Reviewed and Approved
5/21/2009	1	Utilities Drafter	Sent to Clerk's Office for Council
5/20/2009	1	Auditor Reviewer	Reviewed and Approved
5/20/2009	1	CITY AUDITOR	Reviewed and Approved
5/20/2009	1	Utilities Drafter	Sent for Approval
5/20/2009	1	EBOCO Reviewer	Sent for Approval
5/20/2009	1	ODI DIRECTOR	Reviewed and Approved
5/19/2009	1	FINANCE DIRECTOR	Reviewed and Approved
5/19/2009	1	Utilities Drafter	Sent for Approval
5/18/2009	1	Finance Reviewer	Reviewed and Approved
5/18/2009	1	Finance Reviewer	Reviewed and Approved
5/15/2009	1	Utilities Drafter	Sent for Approval
5/15/2009	1	Utilities Reviewer	Sent for Approval
5/15/2009	1	UTILITIES DIRECTOR	Reviewed and Approved
5/15/2009	1	Utilities Drafter	Sent for Approval
5/14/2009	1	Utilities Drafter	Sent for Approval
5/14/2009	1	Utilities Reviewer	Reviewed and Approved
5/13/2009	1	Atty Drafter	Sent for Approval

Explanation

BACKGROUND:

In 2004 the City Attorney entered into a contract with McNees, Wallace & Nurick LLC, a law firm knowledgeable in electric purchase power issues, to assist in drafting and negotiating the purchase power agreement with AEP which currently provides the City's power needs through May 31, 2012. Because wholesale electric prices are currently driven by the volatile and escalating costs of natural gas and coal which are used to generate electricity, the present cost of providing purchase power to the City may be significantly higher by the year 2012. In order to select the best purchase power contract for the City, the Department of Public Utilities has been authorized to request proposals from potential suppliers and to negotiate contract terms and conditions. The new agreement would provide power through May 31, 2014. McNees, Wallace & Nurick LLC has expertise with purchase power issues, and the City desires their assistance. The law firm will assist the City in reviewing the proposals, provide specialized legal advice on issues relating to the evaluation of the proposals, preparing the subsequent contract as well as assist with PURPA (Public Utility Regulatory Policies Act) related issues. Therefore, the following legislation authorizes the City Attorney's to extend and modify its existing contract with McNees, Wallace & Nurick LLC to provide specialized legal services regarding issues related to the purchase of power for the Division of Power and Water.





Contract Compliance Number: 231256003, Expires 05/18/11


FISCAL IMPACT: Funding for this expenditure will come from the Electricity Operating Fund. $50,000 was budgeted for these services in 2009.


EMERGENCY JUSTIFICATION: Ordinance 0629-2009, passed on May 11, 2009 authorizes the Director of Public Utilities to negotiate and enter into contract for purchase power for the Division of Division of Power and Water. Emergency action is requested to allow for th...