Mayor defends power procurement as council adopts industrial-rate authorizations

The mayor outlined the city's recent power-procurement process and defended the choice of a new provider, saying the city solicited bids in late 2024, used a Lafayette-based consultant, and determined that LEPA offered the lowest-cost option under the scenarios reviewed.

"We received four bids," the mayor said, describing submissions from Constellation, BP, a Southwestern Electric company, and LEPA and explaining the consultant's view that LEPA's offer was best even under a worst-case market scenario. He told the council Cleco/Clico's decision to exit the wholesale business and the company's sale process factored into the city's procurement landscape.

Councilors raised concerns about market exposure and past local generation. The mayor noted that municipal generation had been retired years ago because of high maintenance costs and described steps to mitigate future exposure via contract terms and discussions with the selected provider.

Separately, the council added and adopted Resolution 067 of 2025, which authorizes the mayor to execute industrial-rate power agreements with certain large customers and to formalize contract terms the city had previously handled informally. The resolution cites customers that will be eligible for industrial contract service, including Pilgrim's Pride Corporation, Natchitoches Regional Medical Center, Northwestern State University and Alliance Compressor Company.

A city official explained the city had not maintained a formal written contract for industrial rates since 2001 and that verbal continuations had taken the place of a signed agreement; Resolution 067 reduces that uncertainty by authorizing formal contracts moving forward.

The council approved the resolution by roll-call vote; all members present voted in favor.