REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
July 27, 2021
FROM
WILLIAM L. GILBERT, Director, Arrowhead Regional Medical Center
SUBJECT
Title
Amendment to the Contract for Sale and Purchase of Natural Gas with Pacific Summit Energy LLC for the Provision of Natural Gas
End
RECOMMENDATION(S)
Recommendation
Approve Amendment No. 3 to Contract No. 20-600 with Pacific Summit Energy LLC for the Sale and Purchase of Natural Gas, extending the term for six months from August 1, 2021 to January 31, 2022, for a total contract period of June 3, 2015 through January 31, 2022, and increasing the contract amount by $492,480, from $3,446,248 to $3,938,728.
(Presenter: William L. Gilbert, Director, 580-6150)
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COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Operate in a Fiscally-Responsible and Business-Like Manner.
FINANCIAL IMPACT
Approval of this recommended contract amendment will not result in the use of Discretionary General Funding (Net County Cost). The additional cost of $492,480 is funded by State Medi-Cal, Federal Medicare, private insurances, and other departmental revenue. Funding sources may change in the future pending any legislative activity related to the repeal and/or replacement of the Affordable Care Act. Adequate appropriation and revenue have been included in the Arrowhead Regional Medical Center (ARMC) 2021-22 budget.
BACKGROUND INFORMATION
The recommended contract amendment will allow ARMC the ability to continue the purchase of natural gas from Pacific Summit Energy LLC (Pacific Summit) for uses including but not limited to, space heating, water heating, cooking, and emergency fuel. ARMC utilizes an energy broker to purchase natural gas in order secure lower rates by entering into a fixed rate contract with a specific energy broker. This type of contract allows ARMC to purchase natural gas at a fixed cost for a specific period. If the natural gas utility provider, S...
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