ORDINANCE NO. BL2009-371
An ordinance approving a master agreement between The Metropolitan Government of Nashville and Davidson County and Fifth Third Bank for the purpose of stabilizing the net expense incurred in the purchase of gasoline and/or diesel fuel.
WHEREAS, pursuant to T.C.A. Sec. 7-51-911, the Metropolitan Government is authorized to enter into a negotiated contract with other municipalities and financial institutions for the purpose of stabilizing the net expense incurred in the purchase of gasoline and/or diesel; and
WHEREAS, the Tennessee General Assembly authorizes such a negotiated fuel hedging contract to be effective only in regard to actual fuel purchases during the fiscal year beginning July 1, 2008; and
WHEREAS, the purpose of the master agreement is to acquire a set cost for the purchase of gasoline and diesel fuel which will benefit the budget process of the Metropolitan Government; and
WHEREAS, pursuant to RFI 08-21 Fifth Third Bank was awarded a contract for a financial hedging program for fuel; and
WHEREAS, it is in the interest for the public welfare of The Metropolitan Government of Nashville and Davidson County to enter into such fuel stabilization agreements.
NOW, THEREFORE, BE IT ENACTED BY THE COUNCIL OF THE METROPOLITAN GOVERNMENT OF NASHVILLE AND DAVIDSON COUNTY:
Section 1. That the attached master agreement between The Metropolitan Government of Nashville and Davidson County and Fifth Third Bank is hereby approved and the Director of Finance is authorized to execute the same on behalf of the Metropolitan Government.
Section 2. That this Ordinance shall take effect from and after its passage, the welfare of The Metropolitan Government of Nashville and Davidson County requiring it.
Sponsored by: Jim Forkum
Amendment No. 1
Ordinance No. BL2009-371
I move to amend Ordinance No. BL2009-371 by renumbering Section 2 as Section 3, and by adding the following new Section 2:
Section 2. That the Director of Finance shall submit a monthly report to the Metropolitan Council regarding the use of the financial hedging program for fuel authorized pursuant to this Ordinance. Such report shall include, but not be limited to: (1) a list of transactions identifying the quantity of fuel purchased, the agreed-upon price, and the market price at the time of the transaction; (2) a copy of the contract for each transaction; and (3) a comparison between the amount budgeted for fuel and the amount actually paid under the hedging contract(s).
Sponsored by: Jim Forkum
|Introduced:||January 6, 2009|
|Passed First Reading:||January 6, 2009|
|Referred to:||Budget & Finance Committee|
|Amended:||January 20, 2009|
|Passed Second Reading:||January 20, 2009|
|Passed Third Reading:||February 3, 2009|
|Approved:||February 10, 2009|