HomeMy WebLinkAbout~Master - Purchase of additional coal from Alliant Energy RESOLUTION NO. 06-153
RESOLUTION AUTHORIZING PURCHASE OF ADDITIONAL COAL
FROM ALLIANT ENERGY
FOR THE CITY OF AMES,IOWA
WHEREAS,the City of Ames has a contract with Williams Bulk Transfer(WBT),a subsidiary
of Alliant Energy, to serve as its exclusive provider for the coal that burns in the electric boilers to
produce electricity; and,
WHEREAS,a few weeks ago, a fire occurred at the WBT site that has temporarily closed the
facility, and Alliant officials estimate that the repairs could take until the beginning of June to
complete; and,
WHEREAS,the City's analysis indicates that we will need 32,000 tons of coal to carry us until
the trains can resume unloading at our Williams site; and,
WHEREAS,City staffinembers met with Alliant officials on April 21,2006,to clarify options
for dealing with this coal emergency; and,
WHEREAS, a potential source to secure coal for the City has been identified in Dubuque,
however,the cost for delivery from that location will be more than double the current contract cost of
$34.55/ton;
WHEREAS, while the cost increases are significant, the City has no choice but to purchase
additional coal.
NOW,THEREFORE,BE IT RESOLVED by the City Council of the City of Ames,Iowa,that
staff is hereby authorized to purchase up to 10,500 tons of additional coal at the best available price
from Alliant Energy outside of the City's existing contract or from some other sources during the
interim period when the transfer facility at Williams is out of service.
ADOPTED THIS 25`h day of April, 2006.
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Diane R. Voss, City Clerk Ann H. Campbell, Mayor
Introduced by: Goodman
Seconded by: Mahayni
Voting aye: Doll, Goodman, Mahayni, Popken, Rice
Voting nay: None Absent: Goodhue
Resolution declared adopted and signed by the Mayor this 25" day of April, 2006.