Natural Gas Purchase Contract - Rescind Prev. Approved Contract and Increasing Fixed Adde - Interstate Gas Supply Inc.

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BOARD OF PUBLIC WORKS AGENDA ITEM REVIEW REQUEST FORM Date: 11/15/21 Name: Adam Parsons Department of Admin & Finance –Division of Central Services BPW Date: 11/23/2021 Phone Extension:9302 Required Prior to Submittal to Board BPW Attorney X Attorney Name Dept. Attorney Attorney Name Jenna Throw Purchasing Michael Schmidt Check the Appropriate Item Type – Required for All Submissions Professional Services Agreement Contract Proposal Open Market Contract Amendment/Addendum Special Purchase, QPA Bid Opening Bid Award Req. to Advertise Title Sheet Quote Opening Quote Award Reject Bids/Quotes Proposal Opening C/O & PCA No. PCA Chg. Order, No. Traffic Control Resolution Other: Ease./Encroach Required Information Company or Vendor Name Interstate Gas Supply, Inc. New Vendor Yes If Yes, Approved by Purchasing No MBE/WBE Contractor MBE WBE Completed E-Verify Form Attached Yes No Project Name City Natural Gas Supply Project Number Funding Source Departmental Utility Budgets Account No. PR/PO # Amount TBD Terms of Contract Initial 1-year extension, April 2023-March 2024, with 1-year automatic extensions every April with maximum five year total term. This contract overrides the Board 10/19/21 contract, as the natural gas market has required an increase in Fixed Adder from $0.05/Dth to $0.25/Dth for the 1-year extension. Fixed Adder will vary each subsequent 1-yr. renewal. Special Contract Provisions This contract has auto-renew for max. 5 yr term unless term earlier by City. Purpose/Description To supply the City’s natural gas needs and participate in the hedging program run by IGS, reducing the City’s natural gas costs. For Change Orders Only Amount of Increase Decrease $ ($ ) Previous Amount $ Current Percent of Change: Increase Decrease % ( %) New Amount $ Total Percent of Change: Increase Decrease % ( %) Clara McDaniels