Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Utilities topic
No spam. Unsubscribe anytime.
City receives sealed $1 bid from Virginia Natural Gas for nonexclusive franchise; staff to review
Summary
At the March 25 council meeting the deputy clerk read a sealed bid from Virginia Natural Gas (signed by Robert Hazlett Jr.) offering a $1 sealed bid for a five-year nonexclusive franchise (with two automatic five-year renewals) to occupy rights-of-way; staff will review bids and return recommendations at the April 8 meeting.
The city received a sealed bid from Virginia Natural Gas (VNG) in response to an advertised invitation for bids for a nonexclusive natural-gas franchise to use public rights-of-way in Hampton.
Deputy Clerk Joy Mounts read the sealed bid, which states a $1 bid from Virginia Natural Gas Incorporated and attaches a draft franchise agreement with a five-year term and two automatic five-year renewals. The bid text (signed by Robert Hazlett Jr.) states VNG will install, manage and maintain the natural gas distribution infrastructure identified in the draft agreement, will offer service at tariff rates on file with the Virginia State Corporation Commission, and noted a required corporate bond of $150,000 conditioned to ensure construction and maintenance commitments.
City Manager Bunton said the public notice and bid-opening procedures followed the Virginia code and that staff will review the received bid and issue a recommendation at the scheduled April 8 council meeting. The council did not award a franchise tonight; the clerk reported only the single sealed bid had been received and the bidding was declared closed.
The bid text describes VNG as a long-standing regulated natural-gas utility in Southeast Virginia with system modernization plans and local coordination experience. No alternate bidders were reported in the meeting record; staff evaluation criteria and recommended action will be presented at the next council meeting.
