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A Resolution Approving an Extended Term and Special Services Agreement Amendment No. 5 with MC Squared Energy Services, LLC for the Oak Park Community Choice Aggregation Program through December 2028 and Authorizing Its Execution
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A Resolution Approving an Extended Term and Special Services Agreement Amendment No. 5 with MC Squared Energy Services, LLC for the Oak Park Community Choice Aggregation Program through December 2028 and Authorizing Its Execution
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Introduction
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A resolution approving an extended term and special services agreement amendment No. 5 with MC Squared Energy Services, LLC for the Oak Park Community Choice Aggregation program through December 2028 and authorizing its execution.
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Recommended Action
Staff recommend adopting the resolution.
Prior Board Action
The Board has taken the following prior actions:
* On October 3, 2022, the Board approved extending the term of the Special Services Agreement with MC Squared Energy Services through December 2025.
* On July 23, 2018, the Village Board approved an Electric Power Supply Contract with MC Squared, which was extended on July 22, 2019, August 2, 2021, and April 11, 2022.
* In January 2011 the Village Board approved placing a municipal aggregation referendum on the April 5, 2011, ballot; the measure passed with a 66% approval rating. The Board approved the Community Choice Aggregation program on September 26, 2011.
Background
The Village of Oak Park issued a Request for Proposals for Electricity Aggregation Procurement on July 25, 2025. One proposal was received by the deadline of August 8, 2025. The Village issued an addendum to the RFP on August 22, extending the deadline to September 3, 2025. No additional proposals were received.
MC Squared Energy Services, LLC (MC2) is the current power supplier of the Village's Community Choice Aggregation (CCA) program. Beginning in January 2023, the civic contribution was set at a minimum of $2,500/month with an additional value of $0.50 for each account served by MC2 above a base volume of 5,000 accounts served. The CCA is an opt-out program, meaning that selected eligible electricity customers are enrolled automatically unless they choose to opt out, which they may do without penalty or fee. The current CCA guarantees that electricity customers are paying the same rate as ComEd customers.
MC2's response to the Village's RFP included a Price Match plus Municipal Contribution offer. This offer includes a rate equal to the ComEd Price to Compare, and a Municipal Contribution of $1.00/MWH of Energy supplied by Vendor, with a minimum of $100,000 annually. MC2's proposal does not include pricing for Direct Source Renewables or a Fixed Supply price. An option was provided to include carbon offsets in the form of Renewable Energy Credits (RECs). This option included a cost premium. The Climate Ready Oak Park plan includes the statement that "Climate Ready Oak Park will not meet the greenhouse gas emissions reduction commitments through the purchase of voluntary RECs."
Because the Village has an existing agreement with MC2, staff recommend extending the current Power Supply Agreement with an amended Price and Term to reflect the proposed Price Match plus Civic Contribution.
Timing Considerations
The Village's current agreement with MC2 expires in December 2025.
Budget Impact
Approving this agreement will provide the Village a guaranteed annual municipal contribution of $100,000 into GL#2310.41020.101.441485.0000.
Staffing Impact
There is no staffing impact associated with this item. The item aligns with the department's core service delivery.
DEI Impact
There is no DEI impact associated with this item.
Community Input
There has been no community input given in relation to this item.
Staff Recommendation
Approve the resolution.
Advantages:
* The Village will continue to operate a Community Choice Aggregation program with a municipal contribution.
Disadvantages:
* There are no disadvantages to this action.
Alternatives
Alternative 1:
The Board can elect not to approve the resolution and extend the current contract with MC2 without the amended price and term.
Advantages:
* There are no advantages to this action.
Disadvantages:
* The current agreement has a lower minimum Municipal Contribution of $2,500 per month plus $0.50 per household above 5,000 enrolled.
Alternative 2:
The Board can elect not to approve the resolution and issue another RFP for aggregation services.
Advantages:
* A third solicitation may result in new proposals.
Disadvantages:
* It is unlikely that the Village will receive additional proposals.
Alternative 3:
The Board can elect not to approve the resolution and let the current agreement lapse.
Advantages:
* There are no advantages to this action.
Disadvantages:
* The Village will no longer operate a Community Choice Aggregation Program and will not receive a municipal contribution as revenue.
Anticipated Future Actions
Upon Board direction, the Village Manager will execute the amendment to the agreement with MC2.
Prepared By: Lindsey Roland Nieratka, Chief Sustainability Officer
Reviewed By: Jack Malec, Assistant to the Village Manager
Approved By: Kevin J. Jackson, Village Manager
Attachment(s):
1. Resolution - extended term and special services agreement
2. Agreement - MC2
3. Bid Package
4. Bid Response
5. Recommendation Memo - ICCAN
6. Presentation - ICCAN