Project Information

Bid Title

Hastings Utilities Natural Gas Supply Needs RFP

Issuing Agency

City of Hastings

Location

Nebraska

Published Date

Mar 6, 2026

Closing Date

Mar 20, 2026

Government Level

State & Local

Status

Closed

Original Source

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Bid Documents

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Project Description

Hastings Utilities Natural Gas Supply Needs RFP

• Open: 2026-03-06
• Status: Active
• Department: Engineering
• Spec Book

• Active Bids
• Awarded Bids

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* * * * * NOTICE TO BIDDERS * * * * *

REQUEST FOR PROPOSALS

NATURAL GAS SUPPLY NEEDS

HASTINGS UTILITIES

March 4th, 2026

Hastings Utilities, City of Hastings, Nebraska, a Nebraska Municipal Corporation (Hastings), is

requesting proposals for natural gas supply needs and potential other natural gas management

services commencing September 1, 2026.

Informal proposals will be accepted by e-mail at sstone@cityofhastings.org until 5:00 p.m. cst,

Friday, March 20th, 2026. Proposals received after the deadline will not be considered. It is

bidder’s responsibility to verify bid documents have been received prior to the deadline.

Hastings is requesting supply proposals under several different scenarios as outlined on the

following sheets. Bidder may bid any number of the different scenarios they desire. The option

exists to bid only supply for local distribution needs, bid the management of the Hastings

transportation capacity on Trailblazer only, and/or bid a combination of the two. Hastings may

consider awarding the distribution supply portion to one supplier and the Trailblazer

transportation management to a second supplier, or the total package to one supplier.

Hastings reserves the right to accept the bid(s) which best suits its needs regardless of price, to

reject any or all bids, to negotiate specific sections of the agreement, and to waive informalities.

Please direct any questions regarding this Request for Proposals to Shane Stone, Director of

Administration, 402-462-3551, sstone@cityofhastings.org.

______________________________

Shane Stone

Director of Administration

1

Hastings Utilities Gas Supply Bid Criteria & Background

TERM: Hastings will consider a one to five-year term for any of the below options. The

new contract term shall commence on September 1, 2026. In your proposal(s) please specify

if term is flexible or if you are bidding a specific term.

EXCHANGE AGREEMENT: Hastings is a member of the Central Plains Energy Project

(CPEP) and a participant in CPEP Project #2, a 30-year term prepaid natural gas transaction.

Hastings receives 500 MMBtu/day during the months of April and May, 300 MMBtu/day for

June, 400 MMBtu/day for July, 500 MMBtu/day for August September and October and

2,000 MMBtu/day during the months of November through March (total of 399,900 MMBtu

annually). Delivery is at Northern Natural – Demarcation (NNG-Demarc) and pricing is

based on the first of month Platts Inside FERC’s Gas Market Report price. Since Hastings

does not have direct pipeline transportation capacity from NNG-Demarc to the Hastings

Town Border Station (TBS), as part of this RFP Hasting desires to enter into an Exchange

Agreement with the supplier providing distribution supply to Hastings. Each month Hastings

will “exchange” an equivalent value of natural gas at NNG-Demarc with the supplier of gas

delivered to the Hastings TBS or other agreed upon point.

As an example:

• For the month of November, if the first of the month NNG-Demarc index price is

$3.42, Hastings will exchange the value of gas of $205,200 at NNG-Demarc (2,000

MMBtu/day x 30 days x $3.42) for an equivalent value of natural gas at the point the

supplier is delivering gas to Hastings.

• If the weighted average cost of gas (both fixed price and index priced gas during

November) delivered to Hastings happens to be $3.80 per MMBtu, Hastings would

receive 54,000 MMBtu ($205,200 / $3.80) which is an equivalent value of the gas

exchanged at NNG-Demarc.

• If the weighted average cost of gas delivered to Hastings happened to be $3.04 per

MMBtu, Hastings would receive 67,500 MMBtu ($205,200 / $3.04) as an equivalent

value.

This is a value for value swap, not an MMBtu for MMBtu swap. If there is any confusion or

you need more information on how this process is structured, please call for clarification.

TRANSPORTATION CONTRACTS: Hastings holds 14,840 MMBtu/day FTS capacity

on Trailblazer Pipeline. The Primary Receipt Point is PIN 5001 WIC/TPC DULL KNIFE

WELD and the Primary Delivery Point is PIN 902900 TPC/NGPL GAGE. The current

contract term runs through 12/31/2027. Hastings is classified as a “pre-expansion” shipper

and does not pay a separate fuel charge for volumes transported.

Hastings holds 16,000 MMBtu/day of Firm Capacity on Tallgrass Interstate Gas

Transmission, LLC. The Primary Receipt Point is PIN 7857 TPC/TIGT ADAMS and the

Primary Delivery Point is PIN 15500 HASTINGS/TIGT TBS ADAMS. The contract term

runs through 12/31/2037. This is a negotiated, discounted FT contract and the discount is

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only applicable for the specific path from PIN 7857 to PIN 15500. The capacity may be used

on a secondary path basis but would revert to maximum tariff rates for the specific path

utilized. This contract allows for delivery of gas volumes from Trailblazer Pipeline PIN

3850 TIGT/TPC ADAMS or PIN 3851 TIGT/TPC CLAY to the Hastings TBS.

Hastings holds 2,000 MMBtu/day No-Notice Service on Tallgrass Interstate Gas

Transmission, LLC. This contract is used primarily for balancing and covering daily swing

volumes above and below nominated volumes. All terms and rates including fuel are subject

to FERC approved TIGT tariff provisions. The tariff currently allows for a Maximum

Storage Quantity of 45 times the Maximum Daily Quantity, so 90,000 MMBtu of firm

storage service is available. The contract term runs through 5/31/2029.

DISTRIBUTION SYSTEM LOAD PROFILE:

Hastings Daily/Monthly Distribution System Volumes

Month

Sep

Oct

Nov

Dec

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Approx. Minimum

Daily Quantity

1,333

1,613

3,333

5,484

6,452

4,643

3,226

2,167

1,452

1,200

1,000

968

Minimum Monthly

Quantity*

39,990

50,003

99,990

170,004

200,012

130,004

100,006

65,010

45,012

36,000

31,000

30,008

997,039

10 yr Monthly

Avg.

37,256

76,953

137,441

207,072

239,124

204,553

146,045

88,713

49,673

35,417

36,931

36,950

1,296,128

3 yr Peak Daily

Swing Avg.**

2,667

5,900

4,033

3,300

6,100

6,532

4,867

2,967

2,233

333

4,000

6,933

*Minimum Monthly Quantities are all base load volumes. Hastings desires the ability to

“fix” prices in advance of the start of the gas month for up to the minimum monthly quantity

for each month. Pricing will be based on current NYMEX pricing at the time the price is

“fixed” less/plus appropriate basis and other costs, if any. Hastings is currently “fixing”

prices on a minimum of four different purchase dates each year and will buy full NYMEX

contracts of 10,000 MMBtu minimum for each month hedged. Hastings will pay for the

supply in the actual month of delivery.

**Due to natural gas needed for generation, each day has a possible need for daily swing

volume up to the transmission max daily quantity (MDQ).

SUPPLY AND MANAGEMENT OPTIONS FOR BID:

3

1.) DISTRIBUTION GAS SUPPLY ONLY - delivery of distribution system gas

supply volumes to Hastings based on the load profile above. The minimum daily and

minimum monthly quantity volumes are baseload volumes. Hastings desires the

ability to convert up to the minimum monthly quantity volumes to a fixed price based

on NYMEX (plus/minus basis) in advance of the start of the gas month. Any

minimum monthly volumes not fixed in advance will default to a predetermined

index based on “first of the month” pricing. For bidding purposes please identify an

appropriate Inside FERC or Gas Daily first of the month index (and pricing formula)

that would be used to determine pricing, and two years minimum historic pricing

information for that index. Pricing for daily swing quantity volumes shall be based

on an appropriate Gas Daily index price. Please identify the appropriate daily index

on which pricing will be based. Hastings will provide supplier notice of desired daily

swing volume by 8:30 a.m. of the day preceding gas flow. Flexibility may exist with

weekend/holiday scheduling so additional notice may be provided by Hastings if

desired by supplier. Hastings also has flexibility with swing volumes during the

summer months. Please identify standard weekend nomination requirements and

whether non-ratable daily nominations are allowed over weekends and holidays.

Distribution system load is relatively small and generally predictable during the

summer. The daily swing amounts listed are desired in the event natural gas fired

electrical generation would be needed by Hastings. It is typically known two to three

days in advance if the natural gas steam units will be run for any significant amount

of time so although some flexibility would be needed to accommodate the potential

for natural gas generation, Hastings could potentially be more flexible with

notification requirements if necessary.

Firm Delivery Point options are:

A.) Firm off of Trailblazer Pipeline at PIN 3850 TIGT/TPC ADAMS (with a

secondary point of PIN 3851 TIGT/TPC CLAY). Under this option Hastings would

use its TIGT FT contract to move gas from Trailblazer Pipeline to the Hastings TBS

and would be responsible for paying all transportation costs associated with that haul

downstream of PIN 3850. Supplier would only be responsible for gas supply and

transportation costs to deliver gas to PIN 3850 or PIN 3851.

B.) Firm delivery directly to the Hastings TBS (PIN 15500 HASTINGS/TIGT TBS)

with supplier’s own TIGT firm capacity or released TIGT firm capacity. Supplier

would be responsible for all costs to deliver gas to PIN 15500.

C.) Firm delivery to PIN 5001 WIC/TPC DULL KNIFE WELD and Hastings would

use its Trailblazer and TIGT transportation contracts to move gas supply to the

Hastings TBS. Supplier would only be responsible for gas supply and transportation

costs to deliver gas to PIN 5001.

Exchange Agreement Volumes at NNG – Demarc that Hastings is purchasing

through CPEP would need to be incorporated into this supply agreement. A separate

Exchange Agreement covering the details of the exchange will be executed by

supplier and Hastings.

4

2.) TRAILBLAZER CAPACITY MANAGEMENT ONLY - If Hastings chooses to

enter into an agreement with a supplier to deliver distribution gas supply to PIN 3850

TIGT/TPC ADAMS, PIN 15500 HASTINGS/TIGT TBS, or partial supply to PIN

5001 WIC/TPC DULL KNIFE WELD as outlined in Option 1 above, all or a portion

of the Trailblazer capacity may remain available for utilization. In that case, Hastings

would be interested in entering into an Asset Management Agreement or Agency

Agreement with a supplier to maximize the value of any excess Trailblazer capacity.

As Hastings is a municipal utility with the primary purpose of providing our

ratepayers with the most reliable supply and cost competitive rates possible, Hastings

is not interested in entering into an agreement where any significant amount of

financial risk exists to Hastings. Hastings will leave it up to the bidders to identify

cost sharing percentages and other specific conditions that would be associated with

this type of transaction.

3.) TOTAL SUPPLY AND TRAILBLAZER CAPACITY MANAGEMENT

Hastings is also interested in entertaining proposals for an Asset Management

Agreement or Agency Agreement for a complete natural gas distribution supply in

conjunction with the optimization of Trailblazer capacity from a single supplier.

Again, bidders may use their own creativity to present options they would entertain.

Please be specific regarding cost sharing percentages of excess Trailblazer revenues

and distribution supply pricing formulas.

Exchange Agreement Volumes at NNG – Demarc that Hastings is purchasing

through CPEP would need to be incorporated into this supply agreement. A separate

Exchange Agreement covering the details of the exchange will be executed by

supplier and Hastings.

PLEASE DIRECT ALL QUESTIONS OR INQUIRIES TO SHANE STONE, DIRECTOR OF

ADMINISTRATION, 402-462-3551 OR sstone@cityofhastings.org

*******DEADLINE TO SUBMIT PROPOSALS IS FRIDAY, MARCH 20TH, 2026 AT

5:00 P.M. CST*******

5

Commodity Codes

• NAICS 221210Natural Gas Distribution

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