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The City of Mesa Energy Resources Department procures its natural gas and electric power supplies through competitive solicitations on the wholesale energy market.

Current Requests for Proposal

Please check the City of Mesa Purchasing Department's web page for available RFPs.

We recommend that suppliers register in Vendor Self Service through the City of Mesa’s Purchasing Department. When registering in VSS, the below NIGP codes should be used.

We also recommend that any interested suppliers submit their contact information through Energy Resources' Energy Supplier Contact List form. When you complete this form you will be put on a separate contact list maintained by the Energy Resources Department.  

NIGP Natural Gas Codes
405 = Fuel, Oil, Grease and Lubricants
405-13 = Gas, Natural (Incl. Compressed Natural Gas [CNG])
961 = Miscellaneous Services, No. 1 (Not otherwise classified)
961-84 =  Utility Services, Gas
961-85 = Utility Services, Electric, Gas, Water


NIGP Electric Codes
961 = Miscellaneous Services, No. 1 (Not otherwise classified)
961-83 =  Utility Services, Electric
961-85 = Utility Services, Electric, Gas, Water

Supplying Electricity to the City of Mesa Energy Resources Department Electric Utility

Mesa has operated its own electric utility since 1917. The current electric service area (ESA) spans approximately 5.5 square miles and encompasses the heart of the city, including the original town-site. As of July of 2015, service within this area was provided to approximately 16,300 customers, of which 13,500 were residential and 2,800 were commercial. There are currently no industrial customers in the ESA. Mesa’s 2014 peak demand at Rogers Substation, Mesa’s point of supply, was approximately 84 MW.

The electric utility, in addition to its long term contracts for renewable hydroelectric power from the Colorado River, issues competitive Requests for Proposals (RFP) to purchase electric power and energy on the wholesale energy market. These supplies are then delivered to one of Mesa’s available transmission delivery points (West Wing, Pinnacle Peak, Rogers). Mesa typically utilizes standard industry contracts for these purchases and the contract of preference is the Edison Electric Institute Master Power Purchase & Sale Agreement (EEI).

Suppliers should take note that Mesa will require certain contractual terms and conditions related to municipal corporations and political subdivisions of the State of Arizona in any agreement. The EEI agreement may be utilized for establishing the general terms and conditions for the contract, in which event Mesa also desires certain additional modifications to the general terms and conditions.

A. PRICE – Mesa typically seeks proposals that will provide price stability and certainty during the Supply Period such as fixed prices during the entire Supply Period or by year. Conditional proposals typically are not acceptable.

B. GOVERNMENTAL ENTITY – Mesa is a municipal corporation and political subdivision of the State of Arizona, and therefore will require certain contractual provisions and limitations related thereto (i.e. modifications to Schedule M of the EEI) generally consistent (but not limited to) the following:

1. GOVERNING LAW, FORUM - Any contract resulting from RFP’s shall be governed by the laws of the State of Arizona. The exclusive forum selected for any proceeding or suit in law or equity arising from or incident shall be Maricopa County, Arizona (Sections 3.4, 3.5,10.6).
2. FAILURE TO DELIVER/ONE-WAY TERMINATION – Mesa requires physical delivery of energy. Other than conditions such as those specified in the “Force Majeure” section of the EEI or any contract resulting from the RFPs, failure to deliver may be considered a default (pursuant to the terms of Sections 4 and 5 of the EEI). A defaulting party shall not be entitled to any settlement amounts.
3. GOVERNMENT ENTITY/PUBLIC POWER SYSTEM SECURITY AND PAYMENT LIMITATIONS – The ability of Mesa to provide credit protection, collateral or other security in any transaction is subject to and limited by applicable state law (optional Section 3.6, Section 3.8, Section 8 of the EEI). No part of any amounts payable by Mesa under any transaction shall be payable out of any ad valorem (property) taxes or from bonds or other obligations the payment of which Mesa’s general taxing authority is pledged unless (i) duly budgeted by Mesa, (ii) within the statutory and constitutional budget and debt limitations of the State of Arizona. Any obligation to make payments shall not constitute a generally obligation or pledge of the full faith and credit or taxing authority of Mesa.

For a sample EEI Cover Sheet that shows some of the terms favorable to Mesa, please email Anthony.Cadorin@mesaaz.gov.

To add your contact information to a list of suppliers that will be contacted for subsequent electric requests for proposal, please complete the Energy Supplier Contact List form

 

Supplying Natural Gas to the City of Mesa Energy Resources Department Electric Utility

The City of Mesa has operated its Gas Utility since 1917. Mesa's natural gas service territory is comprised of two major service areas: 1) the City Service Area of approximately 90-square miles (primarily) within the City limits, and 2) the Magma service area, a 236-square mile system located southeast of Mesa in Pinal County, Arizona. Mesa's Gas Utility serves approximately 57,600 customers as of July 2015. The City of Mesa has interconnections with El Paso Natural Gas and, to a limited extent, with Transwestern Corporation. Any potential suppliers should be able to coordinate supplies with these transmission operators.

For the calendar year 2014 annual natural gas supply deliveries were 2,856,465 Decatherms (Dth) and daily deliveries vary most significantly depending on the weather. During the 2014-2015 heating season, Mesa experienced a peak delivery day of 25,737 Dth on January 1, 2015. As a result of a historic weather incident, on February 2, 2011, Mesa experienced a natural gas peak day delivery of 30,796 Dth.

Growth (forecasted deliveries) on the system has been countered by mild winter weather to some extent, however, some customer growth is expected.

The North American Energy Standard Board (NAESB) or other contract with similar general terms and conditions may be utilized as an alternative enabling agreement. Suppliers should take note that, as an Arizona municipal corporation, Mesa requires certain contractual conditions and provisions related to and/or required from municipal corporations and political subdivisions of the state of Arizona (see below).

Additionally, Mesa desires certain provisions and flexibility regarding such provisions and as such the negotiation of those provisions shall be a factor in evaluating any responses to RFP’s.

Similar to electric supplies, Mesa requires physical delivery of supply. Other than conditions such as those specified in the "Force Majeure" section of the NAESB or any contract resulting from any RFP, failure to deliver shall be considered a default. A defaulting party shall not be entitled to any settlement amounts.

For a sample NAESB Cover Sheet that shows some of the terms favorable to Mesa, please email Anthony.Cadorin@mesaaz.gov.

To add your contact information to a list of suppliers that will be contacted for subsequent natural gas requests for proposal, please complete the Energy Supplier Contact List form

 

ARS Statutes and General Terms that may apply to any natural gas or electric commodity transactions:

1. CONFLICT OF INTEREST. Pursuant to A.R.S. § 38-504, a current or former public officer or employee within the last twelve (12) months shall not represent another organization before Mesa on any matter for which the officer or employee was directly concerned and personally participated in during their service or employment or over which they had a substantial or material administrative discretion. Further, while employed by Mesa and for two (2) years thereafter, public officers or employees are prohibited from disclosing or using, without appropriate authorization, any confidential information acquired by such personnel in the course of his or her official duties for Mesa.

3. TERMINATION FOR CONFLICT OF INTEREST.  Per A.R.S. §35-392, Supplier shall not be in violation of section 6(j) of the Federal Export Administration Act and subsequently prohibited by the State of Arizona from selling goods of services to Mesa.

4. PUBLIC RECORD. Supplier acknowledges that Mesa is a public entity, subject to Arizona's public records laws (A.R.S. § 39-121 et. seq.) and that any documents related to this RFP, the evaluation of the related responses, and any resulting agreement may be subject to disclosure pursuant to State law in response to a public records request or to subpoena or other judicial process.


Notwithstanding the information above, Mesa invites Suppliers to propose viable alternatives to its needs, and Mesa also reserves the right to propose additional or alternative changes.

Renewable and Alternative Energy Resources

Mesa also actively maintains contact with renewable and alternative energy resource providers and occasionally will solicit renewable specific offers through the RFP process. Energy supplies must be procured through a competitive solicitation process. If you have a renewable or alternative energy resource that you think may be able to provide energy to Mesa Energy Resources, please complete the Energy Supplier Contact List form.