Council approves 24-month electricity supply master agreement after pricing questions

The Cortland City Council on April 6 voted to authorize the mayor to sign a master supply agreement with Din Energy Services East LLC to provide electricity under the city's aggregation program, approving a 24-month fixed-rate option that will begin July 1, 2026.

Council members questioned whether the proposed rate was the best available, noting that market prices move daily and that transmission capacity costs can shift in June. A presenter explained that capacity charges due in summer can raise prices and that fixed-rate options avoid the exposure of automatic-renewal variable contracts. The council was told staff would continue to monitor market quotes up to the contract’s signing window and select the best fixed rate available during the 24-month election period.

Why it matters: the aggregation program affects residential and municipal electricity supply and pricing. The council’s choice to approve a fixed-rate option reflects a preference to limit exposure to volatile, variable pricing while retaining the ability to select the most favorable fixed quote within the permitted signing window.

The resolution passed by roll call; members recorded their votes during the meeting.