►
Description
The Committee on Transportation and Public Utilities of the Council of the City of Philadelphia held a Public Hearing on Thursday, February 16, 2023, at 1:00 PM to hear testimony on the following item:
220810
An Ordinance authorizing the Procurement Commissioner to enter into agreements to purchase electricity, natural gas and motor fuel for use by the City in City facilities and vehicles, including agreements that obligate payment for delivery of such energy supplies in future fiscal years, all under certain terms and conditions.
A
A
B
Afternoon,
everyone-
this
is
the
committee
on
transportation
and
Public
Utilities,
it's
Thursday,
February
16th
of
2023
I,
understand
that
the
state
law
currently
requires
that
the
following
announcement
he
made
at
the
beginning
of
every
remote
public
hearing
as
follows.
Due
to
the
current
Public
Health
Emergency
city
council
committees
are
currently
meeting
remotely.
B
We
are
using
Microsoft
team
to
make
these
remote
hearings
possible
instructions
for
how
the
public
May,
View
and
offer
public
testimony
of
public
hearings
of
council
committees
are
included
in
the
public
hearing,
notices
that
are
published
in
The
Daily,
News
inquiry
and
legal
intelligence.
Sir,
prior
to
their
hearings,
it
can
also
be
found
on
phlcounsel.com.
B
Would
a
clerk?
Please
call
the
road
and
take
attendance.
Remember
that
in
attendance
will
please
indicate
they
are
present
when
their
names
are
called.
Also,
please
see
a
few
brief
words
when
responding
so
that
your
image
will
be
displayed
on
screen.
When
you
speak.
What
a
clerk
please
call
the
road.
B
B
D
B
A
Author
Bill
220810
authorizing
the
procurement
commissioner
to
enter
into
agreements
to
purchase
electricity,
natural
gas
and
motor
fuel
for
use
by
the
city
and
City
facilities
and
vehicles,
including
agreements
that
obligate
payment
for
delivery
of
such
energy
supplies
in
future
fiscal
years.
All
under
certain
terms
and
conditions.
B
Before
we
begin
to
hear
testimony
from
the
witnesses
we
have
for
today,
everyone
who
has
been
invited
to
the
meeting
to
testifies
should
be
aware
that
this
public
hearing
is
being
recorded,
because
the
hearing
is
public
participants
and
viewers
had
no
reasonable
expectation
of
privacy.
By
continuing
to
be
in
the
meeting,
you
are
considering
the
being
recorded
additionally
prior
to
recognizing
members
for
the
questions
or
comments
they
have
for
Witnesses.
B
I
will
note
for
the
record
at
this
time
that
we
will
use
the
chat
feature
available
and
Microsoft
team
to
allow
members
to
signify
that
they
will
wish
that
they
wish
to
be
recognized
in
order
to
comply
with
the
sunshine
act.
The
chat
feature
must
only
be
used
for
this
purpose.
Would
a
clerk
please
call
the
panel
for
Bill
number
220810.
E
Good
afternoon
Sharon,
Johnson
and
members
of
the
committee,
my
name
is
Dominic.
Mcgraw
I
serve
as
City
energy
manager
for
the
city
of
Philadelphia
in
the
office
of
sustainability's
energy
office
I'm
here
in
support
of
Bill
number
220810
sponsored
by
council
member
Gilmore
Richardson,
which
which
authorizes
the
purchase
of
electricity,
natural
gas
and
vehicle
fuel
for
City
for
the
for
its
facilities
to
be
delivered
through
fiscal
year,
2026.
A
E
and
has
continued
granting
additional
authorization.
In
subsequent
years,
Mayor
Nutter
issued
executive
order
number
610,
creating
an
electricity
Supply
advisory
committee,
the
city
council
committee
chairs
for
transportation
and
utilities,
Public
Works
and
the
environment,
or
the
representatives
serve
on
the
committee.
The
electricity
Supply
advisory
committee
reviewed
the
electricity
purchasing
strategy
and
has
been
kept
abreast
of
the
purchases
the
city's
Energy
Office
oversees
as
the
primary
or
serves
as
the
primary
manager
for
the
procurement
of
electricity,
natural
gas
and
vehicle
fuel
for
the
general
aviation
and
water
funds.
E
The
energy
office
strives
for
the
city's
energy
procurement
to
be
low-cost,
provide
provide
budget
certainty
and
to
have
transparent
pricing
and
to
do
so
by
increasingly
using
clean
and
renewable
energy
governments.
Electricity
costs
are
significant
and
costs
for
All
City
funds,
general
fund
Aviation
fund
and
water
fund,
average
to
about
50
million
over
the
previous
three
fiscal
years.
E
The
cost
to
the
general
fund,
including
Street
lighting
and
signals
for
fiscal
year
2022,
was
approximately
27.2
million.
The
electricity
Supply
portion
of
the
total
bill
is
about
two-thirds
of
the
total
electricity
cost.
The
city
has
successfully
managed
Supply
costs
by
purchasing
in
the
wholesale
electricity
market
and
staggering
and
staggering
purchases
to
limit
the
risk
of
paying
a
premium
for
electricity.
E
E
E
In
addition
to
electricity
purchases,
the
city
purchases,
natural
gas
and
vehicle
fuel
from
the
competitive
market
for
its
largest
buildings
and
accounts,
the
city's
interruptible
natural
gas
accounts
are
those
that
can
switch
from
natural
gas
to
alternative
fuel.
Whenever
Philadelphia
Glass
Works
PGW
announces
a
temporary
curtainment
of
gas
service,
the
largest
city
buildings
have
accounts
that
qualify
for
access
to
the
competitive
market
for
natural
gas
supply.
Pgw
is
impartial
to
this
City's
approach
to
procurement,
as
it
is
primarily
compensated
for
delivery
and
distribution
services
of
natural
gas.
E
Now
for
its
Supply,
the
city
governments
competitively
purchase,
natural
gas
supply
costs
are
significant
and
the
cost
for
All
City
funds,
general
fund
Aviation
fund
and
water
fund
were
approximately
4.2
million
in
fiscal
year.
2022.
the
cost
to
the
general
fund
for
fiscal
year
2022
was
approximately
one
million.
Eighty
five
thousand
dollars
the
city
government's
vehicle
fuel
costs
are
significant
and
the
cost
for
All
City
funds,
general
fund
Aviation
fund
and
water
fund
were
approximately
17.6
million
in
fiscal
year.
2022.
E
E
This
bill
would
authorize
the
city
to
make
agreements
for
the
delivery
of
natural
gas
and
vehicle
fuel
through
fiscal
year
2026
with
State
and
federally
licensed
providers.
The
current
providers
were
selected
through
a
competitive
bid
processes
and
act
as
the
city's
agents
in
making
purchases
in
the
electricity
Market
or
in
the
energy
Market
building
on
a
strong
relationship
with
the
Philadelphia
Energy,
Authority
or
pea.
E
The
ordinance
includes
a
provision
that
requires
the
administration
to
inform
a
designated
representative
of
the
Pea
of
the
city's
intent
to
make
purchases
and
consider
the
timely
advice
provided
by
the
Pea
on
purchases
in
closing.
I
anticipate
that
this
procurement
approach
will
continue
to
lower
the
city's
electricity,
natural
gas
and
motor
fuel
bills,
while
protecting
the
city
from
potential
escalation
and
energy
prices
over
the
next
several
years.
This
bill
will
help
to
contribute
to
competitive
prices
and
budget
certainty
for
the
city's
utilities.
B
B
I
now
invite
the
witnesses
and
the
panelists
to
disconnect
from
the
meeting
before
we
go
on
to
our
disconnect
from
the
hearing
before
we
go
into
our
public
meeting.
This
now
concludes
the
hearing
of
the
committee.
We
will
now
go
into
a
public
meeting
to
consider
action
to
be
taken
on
the
bill
before
this
committee
today.
Thank
you
very
much.
E
D
B
That's
cool
just
wanted
to
double
check
with
a
clerk.
Please
call
the
road
and
take
attendance.
Members
that
are
in
attendance
will,
please
indicate
they
are
present
when
their
names
are
called.
Also,
please
see
a
few
brief
words
when
responding
so
that
your
image
will
be
displayed
on
screen
when
you
speak.
C
B
I
didn't
hear
who
that
was
I'm,
sorry,
Sharon
Vaughn.
The
share
notes
for
the
record
that
councilwoman
Sharon
Vaughn's
second,
was
the
motion.
It
has
been
moving
properties
setting
up
their
bill.
Number
220810
be
reported
from
this
committee
with
a
fatal
recommendation
and
further
move
that
the
rules
accounts
will
be
suspended
to
permit
first
reading
of
this
bill
to
next
session.
Council,
all
those
in
favor
of
the
most
percent
by
saying
aye,
aye,
aye
aye
oppose
the
eyes.
Have
it
and
the
motion
carries?
B
Is
there
any
additional
remarks
or
comments
for
members
of
the
committee
hearing
none?
This
concludes
the
business
before
the
committee
law,
transportation
and
Public
Utilities.
Thank
you,
everybody
for
your
attendance
and
being
on
time,
and
you
have
a
great
day
and
an
awesome
weekend.
Thank
you
very
much
and
take
care.
Thank.