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. 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 Federal Tax ID# 31-0800546
Fiscal Impact: This ordinance authorizes an expenditure of $200,000 from the Fleet Management Operating Fund with COTA for compressed natural gas for fueling use by City vehicles. In 2019, the Fleet Management Division expended $626,213.00 for compressed natural gas fuel. In 2018, $617,670.00 was expended.
Title
To authorize the Director of Finance and Management 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; and to authorize the expenditure of $200,000.00 from the Fleet Management Operating Fund. ($200,000.00)
Body
WHEREAS, the City of Columbus and the Central Ohio Transit Authority (COTA) have jointly constructed a satellite compressed natural gas fueling facility on COTA's property, located at 1400 McKinley Avenue; and
WHEREAS, in connection with the construction of this fueling facility, the City and COTA entered into a seven (7) year Facilities Operating Agreement; and
WHEREAS, this Facilities Operating Agreement authorizes the City to fuel its vehicles at the facility; and
WHEREAS, it is necessary to authorize the expenditure of $200,000.00 from the Fleet Management Operating Fund for the purchase of compressed natural gas fuel; and
WHEREAS, it has become necessary in the usual daily operation of the Department of Finance and Management to authorize the Director to establish purchase orders with the Central Ohio Transit Authority (COTA) for the purchase of compressed natural gas for fueling use by City of Columbus vehicles NOW, THEREFORE
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Finance and Management Director is hereby authorized 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.
SECTION 2. That the expenditure of $200,000.00, or so much thereof as may be necessary in regard to the action authorized in Section 1, is hereby authorized in Fund 5200 Fleet Management Operating Fund in object class 02 per the accounting codes in the attachment to this ordinance.
See Attached File: Ord 0794-2020 Legislation Template.xls
SECTION 3. That the monies in the foregoing Sections shall be paid upon order of the Director of Finance and Management, and that no order shall be drawn or money paid except by voucher, the form of which shall be approved by the City Auditor.
SECTION 4. That the funds necessary to carry out the purpose of this ordinance are hereby deemed appropriated, and the City Auditor shall establish such accounting codes as necessary.
SECTION 5. That the City Auditor is authorized to make any accounting changes to revise the funding source for all contracts or contract modifications associated with this ordinance.
SECTION 6. That this Ordinance shall take effect and be in force from and after the earliest period allowed by law.