HomeMy WebLinkAbout~Master - Waiver of Purchasing Policy Requirement to solicit bids for Ames Power Plant Coal RESOLUTION NO. 15-030
RESOLUTION WAIVING PURCHASING POLICY REQUIREMENTS TO SOLICIT
BIDS FOR COAL CONTRACT
FOR THE CITY OF AMES,IOWA
WHEREAS,the Ames Municipal Electric System(AMES)operates two power generating
facilities for the primary purpose of providing electric power to the City's electric customers; and,
WHEREAS,both units burn ultra-low sulfur sub-bituminous coal as the primary fuel; and,
WHEREAS, for the past five years, the City has had a contract with the Peabody
COALSALES, LLC, for its North Antelope Rochelle Mine (HARM) coal from the Powder River
Basin located in Campbell County, Wyoming; and,
WHEREAS,the power plant has used this coal as its primary fuel continuously for more than
22 years; and,
WHEREAS, the NARM coal is a premier ultra-low sulfur sub-bituminous coal that has
proved to be a very compatible fuel for our pulverized coal-fired boilers; and,
WHEREAS, on February 12, 2013, the City Council authorized waiving the City's
Purchasing Policy requirement to solicit bids for coal and approved an amendment to the original
agreement with Peabody COALSALES, LLC, to supply coal for the City of Ames Steam Electric
Plant for the period January 1, 2013, through December 31, 2015; and,
WHEREAS, current plans call for the natural gas conversion project to be completed by
April 2016, with the use of coal to be discontinued in December 2015; and,
WHEREAS, staff is requesting that the Council waive the Purchasing Policy requirements
to solicit bids for the coal contract.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ames, Iowa,
that waiver of the City's Purchasing Policies requirements to solicit bids to supply coal for the City
of Ames Steam Electric Plant is hereby approved.,
ADOPTED THIS 13th day of January, 2015.
W
Diane R. Voss, City Clerk Ann H. Campbell, Mayor
Introduced by: Corrieri
Seconded by: Nelson
Voting aye: Betcher, Corrieri, Gartin, Goodman,Nelson, Orazem
Voting nay: None Absent: None
Resolution declared adopted and signed by the Mayor this 13`h day of January, 2015.