cover
TO: Mayor Thomas J. Weisner
FROM: Jim Pilmer, Director of Neighborhood Standards
DATE: July 1, 2014
SUBJECT:
Requesting approval of a Resolution Authorizing the Mayor to execute electric contracts with electricity suppliers to provide electricity to the City of Aurora.
PURPOSE:
Effective with federal electricity deregulation in 2007, the city has been able to buy electricity "unbundled" from the operators of the distribution system. Good Energy, L.P. is the consultant for procuring the commodity of electricity for the Aurora electric aggregation plan. The purpose of this electricity supply contract is for city facilities that are not covered with electricity provided under the franchise agreement with ComEd.
BACKGROUND:
With deregulation, electricity is now considered a commodity. As a commodity the price changes daily. Constellation Energy is providing electricity on a final extension renewal of the current contract. The contract for the accounts expire in August 2014. Aurora has options to buy electricity from any supplier. This resolution will allow the Mayor to execute the contract to buy with the most economic supplier that meets Aurora's goals with the purchase of electricity. Good Energy, L.P. as consultant is providing Aurora the services towards the preparation of executing the electric contract by aligning suppliers with preliminary pricing which should narrow the field towards a competitive contract.
DISCUSSION:
To enable the City to obtain the lowest prices, it is again recommended that the Mayor be empowered to accept the most attractive proposals from electricity suppliers and to execute the associated supply contract at the end day of current supply sources. If the Mayor is unavailable to take these actions, the Director of Purchasing is authorized to do so. In the absence of the Director of Purchasing, the succession falls to the Chief Financial Officer/ City Treasurer.
IMPACT STATEMENT:
We are seeking t...
Click here for full text