Thursday, September 28, 2006
Contact: Jessica Robinson, 573-751-0290
OA Saves More Than $760,000 Under New Price Contract Agreement
JEFFERSON CITY–The Office of Administration’s Division of Facilities Management, Design & Construction (FMDC) entered into a fixed price contract agreement with natural gas retailer ONEOK from September to November 2006 that will save taxpayers at least $767,758.79.
The new contract entered into by FMDC and ONEOK allows several correctional and mental health facilities throughout the state to join together to enhance their buying power to meet their natural gas requirements. This action saved significant tax dollars by locking the facilities into a fixed price instead of each facility purchasing gas each month at a floating baseline rate or from a local utility company.
“I commend the Division of Facilities Management, Design and Construction on their efforts to identify an opportunity for significant savings that should have been taken advantage of years ago,” Blunt said. “It is vital that all departments continue to look for ways to improve efficiency and make better use of taxpayer dollars.”
For more information contact David Mosby with FMDC at (573) 751-1034.
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