Submitted By
Mindy Agnew, Sustainability Coordinator
Reviewed By
LKS
Agenda Item Title
Title
A Resolution Awarding an Electric Power Sale Agreement with Constellation NewEnergy, Inc. at the Rate of .0535520 per kWH for a 12 Month Period for the Purchase of Fixed Price Electricity for Certain Municipal Facilities and Authorizing its Execution
End
Overview
Overview
The Village is working with Mark Pruitt, Principal of the Illinois Energy Choice Aggregation Network (ICCAN), for the solicitation of bids for third party pricing for electrical power supply for five Village accounts:
1. 720 North Blvd. - The Avenue Parking Garage
2. 1150 Holley Court - Holley Court Parking Garage
3. 1155 Holley Court - Holley Court Parking Garage
4. 129 Lake Street - Central Pumping Station and the North and South pumping stations)
5. 137 North Scoville- OPRF Parking Garage
During the meeting, on January 28, 2019, bid results will be discussed during the Regular Meeting. Bids will be received in the morning of January 28, 2019. This item will be updated on the village website.
Body
Staff Recommendation
ICCAN is recommending a sales agreement with Constellation for a 12-month period at the rate of .0535520.
Fiscal Impact
The applicable Enterprise Funds (Parking Fund and the Water/Sewer Fund) appropriates the necessary funding for electrical expenses.
Based on preliminary rate research, 2019 fixed rates ranging from $0.054 to $0.056/kWh is higher than the previous 2015 rate of $0.04924. The estimated annual consumption for all 5 accounts is 2,050,234 kWh which could be an annual rate increase range of $9,700 to $14,000.
The rate difference is due entirely to a higher capacity rate that is paid by all ComEd customers. That rate is set by the regional transmission organization (PJM) under the authority of the Federal Energy Regulatory Commission (FERC). The rate is the same from all suppliers and cannot be avoided or hedged.
Background
The Village pays for electricity ...
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