Ferrellgas Information (propane)
General Information Regarding the Ferrellgas Agreement
The VCHPOA and the HRPOA have each signed a “Preferred Purchaser Pricing Agreement” with Ferrellgas, a propane supplier in Sparks. We think the Agreement will allow Highland residents to purchase propane at a substantial cost savings.
Any resident in the Highlands is eligible to take advantage of this pricing agreement.
What are the benefits to me if I switch to Ferrellgas?
Sign-Up Incentives:
· Free—25 gallons of propane
· Free tank rental for the first year
· Free tank switch out
· Free safety check
· Around the clock emergency service
· A good pricing arrangement guaranteed for 5-years.
· The price is reduced as more Highland residents sign up for the program.
Service Choices:
· “Keep Full” service
· “Will Call” service
· “Level Payment” plan
How does the pricing
work? The Ferrellgas pricing is as
follows:
The price to a Highlands resident is the Sparks wholesale price plus $.55. Thus if the Sparks wholesale price is $.60 per gallon, the cost to you will be $1.15 per gallon ($.60 + $.55 markup).
The price will decrease $.05 per gallon when
101 to 200 residents sign up and will decrease another $.05 if when more than
200 residents sign up.
When you buy propane from a supplier you pay the current price, just like gasoline. However, Ferrellgas is guaranteeing a fixed markup price which is generally lower than the markup of other suppliers.
How often do propane
prices change? Most suppliers review the price of propane
once a week and change the price based on wholesale prices.
How do I compare the
Ferrellgas price with the price offered by other propane suppliers? Call Ferrellgas to obtain their current price for propane (or look on our
website) and then call other suppliers to obtain their current price. In general
the Ferrellgas price should be lower.
How do I find out the
Sparks wholesale price and the Ferrellgas price? Call Ferrellgas at 331-1313.
Is this just an
introductory rate and then rates will increase in the future? No, the pricing agreement is in effect for 5 years with provisions for
renewal at the end of the 5 years.
Do I have to switch to
Ferrellgas? No. This is strictly a voluntary program and
Ferrellgas has made it clear they want to “earn your business”. If you are
satisfied with your present propane supplier you should just continue with your
service.
Can I switch to Ferrellgas at a later date? Yes, you can switch anytime in during the next five years.
Who is Ferrellgas? Ferrellgas is one of the two largest
suppliers of propane in the United States and is listed on the New York Stock
Exchange. They are based in suburban Kansas City, MO. Their local office is in
Sparks. For more information you can visit their website at www.ferrellgas.com.
Ferrellgas has over one million customers in 45 states.
Why are they offering this
program to Highland residents? Just like many other purchase, volume brings
lower prices. Ferrellgas recognizes that as a purchasing group, VCHPOA and HRPOA
can bring volume to a concentrated geographical area and the savings are being
passed on to Highlands residents.
Why are the two
homeowners association doing this? The Agreement is an opportunity to use volume
purchasing to offer a lower propane price to Highland residents. The two
Associations do not receive anything for entering into the Agreement with
Ferrellgas.
How do I switch to
Ferrellgas? Just call Ferrellgas at 331-1313 and tell them
you are a Highlands resident. They will take care of all of the details.
What if I switch and then
don’t like Ferrellgas? You can switch to another supplier at any time
with no penalty.
If I switch, how long
will it take them to hook up my new propane tank? When the tank setter arrives on the scheduled
date, the switch-out will take approximately 1 hour.
What happens to my old
propane tank and the propane that is in it? Your old supplier is required by state law to remove your old tank within 30
days (at no cost to you) and reimburse you for the propane still in the tank at
the price you paid for the propane.
A copy of the Preferred Pricing Agreement is
on the website (www.vchpoa.org) as well as a copy of the State of Nevada
“Consumer Bill of Rights of the Nevada Board for the Regulation of Liquefied
Petroleum Gas”.
Does the Association have
any liability under this program? No.
If I have any problems with
Ferrellgas will the Associations assist me? No, you will dealing directly with Ferrellgas and neither Association will
become involved in any disputes or service problems.
Is this an
“exclusive” agreement? No, it is a non-exclusive agreement.
How do I get more
information? Call Ferrellgas at 331-1313. v
Click on the links below to view the documents:
Preferred Purchaser Pricing Agreement
Nevada Consumer Bill of Rights for Propane Users