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TO AUTHORIZE THE DIRECTOR OF PUBLIC SERVICE TO NEGOTIATE AND THE MAYOR TO ACCEPT AND ENTER INTO A CONTRACT AMENDMENT FOR A LOWER ELECTRIC RATE AND TO EXTEND OUR EXISTING AEP ENERGY CONTRACT FOR ONE ADDITIONAL YEAR AMENDING ORD-0139-2010; AND TO DECLARE AN EMERGENCY.
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WHEREAS, through ORD-0139-2010 Gahanna has been in an agreement with AEP Retail Energy Partners for the generation portion of our electric bills since October 2010 and our power rate has been $65/mwh, which is saving the City about $30,000 a year; and
WHEREAS, currently the City has an opportunity to extend our contract for the generation portion of our electric bills for one year at a rate of $60/mwh; and
WHEREAS, to accomplish this it is necessary to authorize the Director of Public Service to negotiate and the Mayor to accept and enter into a contract amendment for a lower electric rate and to extend our existing AEP Retail Energy contract for one additional year; and
WHEREAS, the City acknowledges that AEP Retail Energy Partners, LLC is now known as AEP Energy, Inc.; and
WHEREAS, because of the great savings to the City it is necessary to proceed immediately with this legislation to accomplish this in a very limited time frame, and all for the preservation of the public peace, property, health, safety and welfare;
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF GAHANNA, STATE OF OHIO:
Section 1. That the Director of Public Service is hereby authorized to negotiate and the Mayor is authorized to enter into a contract amendment for a lower electric rate and to extend our existing AEP agreement authorized by ORD-0139-2010 with AEP Retail Energy Partners; Amendment to Power Sales Agreement attached as EXHIBIT A, and made a part herein.
Section 2. That, for the reasons set forth in the preamble hereinabove, this ordinance is declared emergency legislation and shall be in full force and effect immediately upon passage by this Council and on date of signature approval by the Mayor.