03/24/2020 Resolutions 2020-70�
i ,
R E S O L U T I O N 2020-70
WHEREAS, At the May 22, 2012 meeting, Council approved a Marketing Agreement
with Tenaska to provide a means for the Utilities Department to buy and sell power through the
regional Southwest Power Pool (SPP) market; and
WHEREAS, at the September 11, 2018 meeting, Council approved Amendment # 1 to
the original Marketing Agreement to transfer capacity related obligations including any penalties to
the City of Grand Island's Market Participation registration and this ensures the City is treated fairly
when it comes to capacity requirements; and
WHEREAS, Auction Revenue Rights (ARR) and Transmission Congestion Rights
(TCR) are components of our electric transmission transactions that we must regularly conduct to
receive energy from our participation in generating facilities outside of Grand Island, and currently,
our excess ARR/TCR's are not used; and
WHEREAS, there are speculative markets for excess ARR's and TCR's that can
incur monetary losses and Tenaska has the expertise to analyze these markets, thus avoid incurring
an unnecessary risk; and
WHEREAS, Tenaska has proposed Amendment #2 for which they will participate in
the ARR/TCR market with our excess ARR/TCR's on a commission basis based on their acceptance
of all risk and financial loss; and
WHEREAS, the Legal Department has reviewed and approved the Amendment
between the City of Grand Utilities Department and Tenaska.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF
THE CITY OF GRAND ISLAND, NEBRASKA, that Amendment #2 to the Marketing Agreement
with Tenaska is approved, and the Mayor is hereby authorized to sign the agreement on behalf of the
City of Grand Island.
Adopted by the City Council of the City of Grand Island, Nebraska, March 24, 2020.
Attest:
��l
RaNae Edwards, City Clerk
Roger G. Steele, Mayor
Approved as to Form tt
March 23, 2020 tt Ci Attorney