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HomeMy WebLinkAboutOrdinance 27954-09-2025Ordinance No. AN ORDINANCE INCREASING ESTIMATED RECEIPTS AND APPROPRIATIONS IN THE GRANT OPERATING OTHER FUND,SUBJECT TO RECEIPT OF THE GRANT,IN THE AMOUNT OF $100,034.98,FOR THE PURPOSE OF FUNDING THE NRG CARE PROGRAM;PROVIDING FOR A SEVERABILITY CLAUSE;MAKING THIS ORDINANCE CUMULATIVE OF PRIOR ORDINANCES;REPEALING ALL ORDINANCES IN CONFLICT HEREWITH;AND PROVIDING AN EFFECTIVE DATE. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH,TEXAS: SECTION 1. That in addition to those amounts allocated to the various City departments for Fiscal Year 2024-2025 in the Budget of the City Manager, there shall also be increased estimated receipts and appropriations in the Grants Operating Other Fund, subject to receipt of the grant, in the amount of $100,034.98, for the purpose of funding the NRG CARE Program. SECTION 2. That should any portion, section or part of a section of this ordinance be declared invalid, inoperative or void for any reason by a court of competent jurisdiction, such decision, opinion or judgment shall in no way impair the remaining portions, sections, or parts of sections of this ordinance, which said remaining provisions shall be and remain in full force and effect. SECTION 3. That this ordinance shall be cumulative of Ordinance 27107-09-2024 and all other ordinances and appropriations amending the same except in those instances where the provisions of this ordinance are in direct conflict with such other ordinances and appropriations, in which instance said conflicting provisions of said prior ordinances and appropriations are hereby expressly repealed. SECTION 4. This ordinance shall take effect upon adoption. CITY SECRETARY _________________________ Jannette S. Goodall APPROVED AS TO FORM AND LEGALITY: ___________________________________ Assistant City Attorney City Secretary ADOPTED AND EFFECTIVE: City of Fort Worth, Mayor and DATE: 09/16/25 Texas Council Communication M&C FILE NUMBER: M&C 25-0855 LOG NAME: 19NS NRG CARE PROGRAM 2025 SUBJECT (ALL) Authorize Execution of a New Agreement with Reliant Energy Retail Services, LLC in a Total Amount Up to $100,000.00 for the NRG CARE Program from May 1, 2025 through December 31, 2030, and Adopt Appropriation Ordinance RECOMMENDATION: It is recommended that the City Council: 1. Authorize the execution of a new agreement with Reliant Energy Retail Services, LLC in an amount up to $100,000.00 for the NRG CARE Program from May 1, 2025 through December 31, 2030; 2. Authorize the acceptance of interest earned for the advanced funds in the amount of $34.98 for the new NRG CARE Program; and 3. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations in the Grants Operating Other Fund, subject to receipt of the grant, in the amount of $100,034.98, for the purpose of funding the NRG CARE Program. DISCUSSION: Reliant Energy Retail Services, LLC, (Reliant Energy) developed the CARE Program (Program) as a supplement to government and community aid programs designed to assist Reliant Energy customers in financial distress to meet their electric utility related costs. The Program is funded by voluntary contributions from Reliant Energy, its customers, its employees and third parties. On January 23, 2024, City Council authorized execution of an agreement with Reliant Energy in an amount up to $100,000.00 for the CARE Program from January 1,2024 through December 31,2029. The Neighborhood Services DepartmenYs (NSD) Community Action Partners will administer the Program. On April 25, 2025, the City received notice from Reliant Energy of significant changes to the CARE Program. Effective May 1, 2025, the Reliant CARE Program and the Direct Energy Neighbor to Neighbor bill assistance programs merged into a new program called the NRG CARE Program (Customer Assistance and Relief for Electricity). Per the terms of the merger, all CARE and Neighbor to Neighbor funding can be applied across all seven affiliates under the NRG umbrella. Affiliates include: Reliant Energy, Direct Energy LP (Direct Energy), Stream SPE, Ltd (Stream) , US Retailers, LLC dba DISCOUNT POWER (Discount Power), US Retailers, LLC dba CIRRO Energy (Cirro Energy), XOOM Energy Texas, LLC (Xoom Energy), and Green Mountain Energy Company (Green Mountain Energy). In addition, the maximum allowable assistance under NRG's CARE program was increased from $300.00 to $600.00 per calendar year. To be eligible, recipients of the NRG CARE Program must be a customer of an NRG Affiliate with an active account and the applicanYs name must match the NRG Affiliate's customer account name. Due to the merger, Staff requests authorization for the execution of a new contract with Reliant Energy in the total amount up to $100,000.00 for the NRG CARE Program from May 1, 2025 through December 31, 2030. During the period of June 2017 to June 30, 2025, the City received a total amount of $78,732.98 from Reliant Energy in the form of advanced funds under the CARE Program. These funds earned interest earnings of $759.23, out of which $724.25 were appropriated and added by the City for the program (M&C-24-0026). The balance earned interest of $34.98 needs to be appropriated by the City into the new NRG Care Program project. A total of 316 Tarrant County households were assisted under the previous CARE program with grant funds totaling $73,801.69. The carryover funds from the CARE program will be transferred to the new NRG CARE program. It is projected that up to 350 qualified households will receive assistance under the new agreement. The term of the Agreement will begin May 1, 2025. The Agreement will automatically renew on a year-to-year basis until terminated. No indirect costs are allowed by Reliant Energy and no matching funds are required. This program serves ALL COUNCIL DISTRICTS and remaining parts of Tarrant County. A Form 1295 is not required because: This contract will be with an electric utility: Reliant Energy Retail Services,LLC FISCAL INFORMATION / CERTIFICATION: The Director of Finance certifies that upon approval of the above recommendations, and adoption of the attached appropriation ordinance, funds will be available in the current operating budget, as appropriated, in the Grants Operating Other Fund. The Neighborhood Services Department (and Financial Management Services) will be responsible for the collection and deposit of funds due to the City. Prior to expenditures being incurred, Neighborhood Services Department has the responsibility to validate the availability of funds. This is an advance grant. Submitted for City Manager's Office b� Dana Burghdoff 5804 Originating Business Unit Head: Kacey Bess 8187 Additional Information Contact: Benedict George 7339