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File #: 1749-2019    Version: 1
Type: Ordinance Status: Passed
File created: 6/19/2019 In control: Finance Committee
On agenda: 7/15/2019 Final action: 7/17/2019
Title: To authorize the Director of Finance and Management to negotiate and enter into contract for contract energy supply; to waive the competitive bidding provisions of Columbus City Code, Chapter 329 relating to award of contracts through the Request for Proposals process; to authorize the expenditure of $1.00 from the General Fund; and to declare an emergency. ($1.00)
Attachments: 1. Ord 1749-2019 Legislation Template.pdf, 2. Bid Waiver Form - Ord 1749-2019.pdf
Explanation
BACKGROUND: This legislation authorizes the Director of Finance and Management to negotiate with multiple certified energy suppliers in the State of Ohio for the deregulated electric supply of all City owned facilities on the AEP Ohio distribution system. The legislation also waives provisions of Columbus City Code relating to award of contracts through the Request for Proposal (RFP) process.

The Department of Finance and Management will request proposals from potential energy suppliers and will negotiate energy supply contract terms and conditions with multiple suppliers deemed to have submitted responsive proposals. This process will allow department staff to compare proposals and terms in order to select the best purchase power contract for the City. Due to the future start date of the potential power contract, the City is not obligated to purchase power through this process if proposals do not meet the budgetary goals.

The Department of Finance and Management and the Department of Public Utilities currently have a total of 5 contracts in place for varying kilowatt hours with different expiration dates. Detail of these contracts by Department is provided below:

1) Public Utilities - Power; 10,075,000 kWh; June 2021 expiration
2) Public Utilities - Sewer and Water; 9,600,000 kWh; May 2021 expiration
3) Finance, Public Service, Rec & Parks; 25,000,000 kWh; May 2021 expiration
4) Finance, Public Service, Rec & Parks; 4,500,000 kWh; May 2021 expiration
5) Finance, Public Service, Rec & Parks; 2,800,000 kWh; May 2021 expiration

Based on current market conditions, the Department of Finance and Management and the Department of Public Utilities have the opportunity to lock in electricity supply rates that are expected to provide budget savings starting May/June of 2021.

This RFP will solicit pricing options up to 12-months, 18-months, 24-months, or 36-month terms, based on recommendations from its Energy Consultant. The Departments may also add a ...

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