FORT WORTH (CBSDFW.COM) – Gas prices may have spent months on an upward curve, but the city of Fort Worth is still managing to save money on its annual 3 million gallon need.
“In this day and age, we’re looking at all avenues to save,” said Randy Rendon, a city equipment specialist in charge of buying and distributing the city’s gas supplies.
“The growing costs and escalation of fees for every day business forces us to look at all different areas.”
And that actually meant buying more gas. Nine years ago the city teamed up with county and school agencies to buy gas in large volumes. That earned the city a discount, and the idea kept growing.
Soon, the group was buying 14 million gallons of gas a year. Then other agencies from out of state wanted to join the consortium, headed by the city of Fort Worth.
In return, the consortium pays the city .008 cents for every gallon of gas purchased, which equated to $50,000 last year. And that’s with just a fraction of the participants the consortium will eventually have, Rendon said.
“Based on what we have right now, we have the ability to bring on at least 48 other states, governmental agencies,” Rendon said.
The interstate consortium could eventually grow to purchase 100 million gallons of gas per year, offering more savings and revenues for the city.
“We’re not only saving money for the taxpayers, we’re bringing revenues we can use to help with other programs, equipment services, servicing our fleet and equipment here,” said Bill Begley, a Fort Worth spokesman.
The city has already saved and earned $40,000 in the first half of the year.