File #: 2024-0026   
Type: Contract Status: Passed
File created: 1/12/2024 In control: Operations, Safety, and Customer Experience Committee
On agenda: 3/21/2024 Final action: 3/28/2024
Title: AUTHORIZE the Chief Executive Officer (CEO) to: A. EXECUTE Modification No. 6 to Contract No. OP73960000 with Clean Energy Renewable Fuels, LLC. to increase the contract value by $20,204,040 from $56,048,630 to $76,252,670 and extend the contract performance end date by seventeen months from July 31, 2024, to December 31, 2025, to provide renewable natural gas to five bus operating divisions; B. EXECUTE Modification No. 4 to Contract No. OP59812000A with Clean Energy Renewable Fuels to increase the 5-year base contract value by $22,023,615 from $43,626,286 to $65,649,901; C. EXECUTE Modification No. 3 to Contract No. OP59812000B with Shell Energy North America (US) to increase the 5-year base contract value by $4,224,175 from $10,888,120 to $15,112,295; and D. EXECUTE Modification No. 2 to Contract No. OP59812000C with Trillium USA Company, LLC. to increase the 5-year base contract value by $7,112,949 from $12,379,477 to $19,492,426.
Sponsors: Board of Directors - Regular Board Meeting
Indexes: Budgeting, Cleaning, Commodities, Contracts, Customer service, Fuels, Landfills, Maintenance practices, Metro Divisions, Natural gas, Operations Maintenance (Project), Procurement, Purchasing, Renewable Natural Gas, Rolling stock, Safety, Strategic planning, Suppliers, Zero Emission Bus (ZEB) Master Plan
Attachments: 1. Attachment A - Procurement Summary OP7396000 Clean Energy, 2. Attachment B - Contract Mod Change Order Log OP7396000 Clean Energy, 3. Attachment C – DEOD Summary OP7396000 Clean Energy, 4. Attachment D - Procurement Summary OP59812000A Clean Energy, 5. Attachment E - Contract Mod Change Order Log OP59812000A Clean Energy, 6. Attachment F - DEOD Summary OP59812000A Clean Energy, 7. Attachment G - Procurement Summary OP59812000B Shell Energy, 8. Attachment H - Contract Mod Change Order Log OP59812000B Shell Energy, 9. Attachment I - DEOD Summary OP59812000B Shell Energy, 10. Attachment J - Procurement Summary OP59812000C Trillium USA, 11. Attachment K - Contract Mod Change Order Log OP59812000C Trillium, 12. Attachment L - DEOD Summary OP59812000C Trillium, 13. Presentation
Related files: 2024-0261
Meeting_Body
OPERATIONS, SAFETY, AND CUSTOMER EXPERIENCE COMMITTEE
MARCH 21, 2024

Subject
SUBJECT: CONTRACT MODIFICATIONS FOR RENEWABLE NATURAL GAS (RNG) CONTRACTS

Action
ACTION: APPROVE RECOMMENDATION

Heading
RECOMMENDATION

Title
AUTHORIZE the Chief Executive Officer (CEO) to:

A. EXECUTE Modification No. 6 to Contract No. OP73960000 with Clean Energy Renewable Fuels, LLC. to increase the contract value by $20,204,040 from $56,048,630 to $76,252,670 and extend the contract performance end date by seventeen months from July 31, 2024, to December 31, 2025, to provide renewable natural gas to five bus operating divisions;

B. EXECUTE Modification No. 4 to Contract No. OP59812000A with Clean Energy Renewable Fuels to increase the 5-year base contract value by $22,023,615 from $43,626,286 to $65,649,901;

C. EXECUTE Modification No. 3 to Contract No. OP59812000B with Shell Energy North America (US) to increase the 5-year base contract value by $4,224,175 from $10,888,120 to $15,112,295; and

D. EXECUTE Modification No. 2 to Contract No. OP59812000C with Trillium USA Company, LLC. to increase the 5-year base contract value by $7,112,949 from $12,379,477 to $19,492,426.

Issue
ISSUE

Metro uses Renewable Natural Gas (RNG) fuel to power the engines on the majority of the bus fleet. RNG fuel is currently being procured under four contracts due to limited RNG availability from one single supplier, with one contract scheduled to conclude on July 31, 2024, and the remaining three contracts set to expire on December 31, 2025.

This Board action is intended to add contract value to all the current RNG contracts and extend one current RNG contract term. The intent is to align the four existing contracts to expire on December 31, 2025. Since the volume of RNG has become more readily available regardless of the source or supplier, staff will initiate the procurement of one consolidated contract for RNG in late 2024 and return to the Board for approval of the...

Click here for full text