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<br />REQUEST FOR <br />COUNCIL ACTION <br /> <br />~ <br />~ <br /> <br />CITY COUNCIL MEETING DATE: <br />DECEMBER 19, 2005 <br /> <br />CLERK OF COUNCIL USE ONLY: <br /> <br />TITLE: <br />CONTRACT RENEWAL FOR <br />DIESEL FUEL <br />(SPEC. NO. 02-146) <br /> <br />APPROVED <br />o As Recommended <br />o As Amended <br />o Ordinance on 1 st Reading <br />o Ordinance on 2nd Reading <br />o Implementing Resolution <br />o Set Public Hearing For <br /> <br />CONTINUED TO <br /> <br />\ ~' <br />, ' <br />. 1\ i . <br />\0 ~,) ~\). (#UJ )J <br /> <br />FILE NUMBER <br /> <br />CITY MANAGER <br /> <br />RECOMMENDED ACTION <br />Renew the contract with SC Fuels under the Cooperative Purchase provision <br />of Orange County for the purchase of diesel gasoline fuel for a one-year <br />period in the annual amount not to exceed $325,000. <br /> <br />DISCUSSION <br /> <br />The Finance and Management Services Agency's Fleet Maintenance. Division <br />orders diesel fuel for the City's diesel-operated vehicles. The County of <br />Orange awarded a contract to SC Fuels based on a competitive bid process. <br />The price is based on the index published in the Oil Pricing Information <br />Service (OPIS) newsletter for Southern California, plus taxes and delivery <br />charges. <br /> <br />On January 6, 2003, the City Council awarded a contract to SC Fuels for a <br />one-year period, with provision for three one-year renewals. The vendor <br />has performed satisfactorily during the past contract period, and pricing <br />continues to be based upon the index published in the OPIS newsletter. <br />The recommended contract amount is increased due to the volatility of fuel <br />costs. Staff recommends the final renewal of the contract. <br /> <br />FISCAL IMPACT <br /> <br />Funds are available in the Equipment Maintenance Garage Operation Gasoline <br />and Diesel Fuel account (account no. 75-111-6382). <br /> <br />\\\ -\ <br />'.:t\~.\~-~~ )~. ~"- <br />~ Francisco Gutierrez <br />Executive Director <br />Finance and Management Services AgenC~t-. <br /> <br />FGjKMj02-146-R3.2:uc <br /> <br />22C-1 <br /> <br />C~ JIB <br />