Power Plant Fuel Delay & Backup Plan
- Austin is delaying key deadlines for bids on a 20-year natural gas supply contract for its new municipal power plant.
- This postponement was advised by a consultant, who stated the original timelines were too short for potential suppliers to meet complex contract specifications.
- New deadlines include moving the bid opening to March 31, with gas delivery required no later than September 1.
- The Mayor outlined contingency plans, such as utilizing a temporary pipeline or burning fuel oil, if the new power plant opens before the permanent gas supply is secured.
Full Transcript
CITY OF AUSTIN. TEXAS MINUTES OF THE CITY COUNCIL CITY OF AUSTIN, TEXAS Special Meeting February 26, 1960 COUNCIL CHAMBERS, CITY HALL The Special Meeting was called to order with Mayor Miller presiding. Roll Call: Present: Absent: Councilmen Bechtol, Perry, White, Palmer, Mayor Miller None The Mayor announced that it was time for the Special Meeting concerning the rescheduling of dates for the receiving of new bids on a natural fuel supply for the municipal power plants. Ralph Davis, the newly employed consultant geologist and engineer advised the Council to publish a new advertisement for bids setting the bid opening date as March 31 instead of the previously set date of March 9. The Council also changed the delivery date of the proposed 20-year contract period from July 20 to no later than September 1, 1960. The July 20 deadline has been fixed earlier to coincide with Austin's new power plant opening. However, Davis said that it would be impossible for most bidders to bring gas into Austin by that time. Davis recommended changing the bid opening date to give prospective suppliers sufficient time to meet the requirements of the specifications that were being drafted. The Council agreed to meet earlier the following week to check over the specifications which were being prepared by Davis and reviewed by a panel of three attorneys serving as special counsel for the city on the gas issue. Councilman Bechtol expressed some discontent over the changes made at the meeting and stated that it was "another regrettable delay," however he agreed that the changes were necessary for the procurement of a fixed-price contract. Mayor Miller stated that the City would work out a temporary fuel supply for the new power plant if it was ready for service in July, or before : CITY OF AUSTIN, TEXAS a successful bidder could deliver gas. He stated that an arrangement could be worked out with the Southern Union Gas Company to run a temporary pipe line to the plant, or by burning fuel oil instead of gas. ADJOURNMENT The Council then adjourned. ATTEST: City Clerk APPROVED: Mayor