Item 23 - Fuel Delivery and Supply Services

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Public Works Agency www.santa-ana.org/pw Item # 23 City of Santa Ana 20 Civic Center Plaza, Santa Ana, CA 92701 Staff Report December 20, 2022 TOPIC: Fuel Delivery and Supply Services AGENDA TITLE Approve an Agreement with AAA Oil, Inc. for Fuel Delivery and Supply Services (Non- General Fund) RECOMMENDED ACTION Authorize the City Manager to execute an agreement with AAA Oil, Inc. for fuel delivery and supply services in an annual amount not to exceed $1,300,000 and total amount not to exceed $6,500,000, for a three-year term beginning December 20, 2022 and expiring December 19, 2025, with an option for one two-year extension, subject to non-substantive changes approved by the City Manager and City Attorney. DISCUSSION The Public Works Agency’s Central Stores is responsible for purchasing and dispensing fuel at the fueling stations located at the City’s Corporate Yard and Santa Ana Police Department. The City currently has a fleet inventory of over 600 vehicles across all City departments that rely on these fueling stations to meet their unleaded and diesel fueling needs. Additionally, the City also utilizes diesel fuel to power emergency backup generators at several of its critical infrastructure sites. The current agreement for fuel delivery and supply is set to expire on January 31, 2023. On September 13, 2022, the Public Works Agency issued Request for Proposal (RFP) 22-110 for gasoline and diesel fuel supply and delivery services. The RFP was advertised on the City’s online bid management and publication system with bids due on October 7, 2022. System records indicate 18 vendors were notified and 18 vendors downloaded proposal files. Five proposals were received and evaluated by a selection committee. Based on the criteria outlined in the RFP, all proposals received were categorized as responsive, and their respective scores are as follows: