Natural Gas

The Council provides participating school districts the ability to purchase natural gas at reduced rates. There are currently 151 districts in the Program. School districts must have their board of education approve the program agreement to participate. This program is open to non-OSC member school districts and MR/DD’s.

OSC estimates the average cost of natural gas per mcf with the assistance of our gas manager, Compass Energy. This price is our best estimate of the average price of natural gas for the total fiscal year and is used to calculate each participants monthly billing. The participants make monthly payments based on estimated usage and price to an OSC lockbox.

The actual price of the gas for any month is calculated at the end of the month by our gas manager, Compass Energy.  This price is determined by averaging the cost of the natural gas which OSC bought and stored during the summer months (approximately 25% of the total), the cost of any gas that has been hedged, and the cost of the gas which is bought on the open market that month (NYMEX price). A statement is generated and mailed to each participant on a monthly basis that reflects that participants actual monthly usage and price.

Each September, the estimated payments are compared to their actual costs for the prior fiscal year (July to June). Districts that paid more in estimated billings than their actual cost are issued credits on future billings beginning in September until the credits are exhausted and districts that did not pay enough on estimated billings are invoiced for the difference on the September monthly estimated billing.

If you are interested in this program, call Kelly Rocco at (216) 447-3100 or (800) 264-1326, ext. 101 or email krocco@osconline.org.