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HomeMy WebLinkAbout22B - UNLEADED FUEL REQUEST FOR COUNCIL ACTION ~ ~ CITY COUNCIL MEETING DATE: MAY 2, 2005 CLERK OF COUNCIL USE ONLY: TITLE: CONTRACT RENEWAL FOR UNLEADED FUEL (SPEC. NO. 00-169) APPROVED D As Recommended D As Amended D Ordinance on 1 st Reading D Ordinance on 2nd Reading D Implementing Resolution D Set Public Hearing For MtZ CONTINUED TO FILE NUMBER CITY MANAGER RECOMMENDED ACTION Renew the contract with GP Resources, Inc" under the Cooperative Purchase provision of the County of Orange, for the purchase of unleaded fuel for a one-year period, in an annual amount not to exceed $800,000. DISCUSSION The Fleet Division of Finance and Management Services provides diesel and unleaded fuel at the City's Corporate Yard for all City gasoline and diesel operated vehicles, In addition to the underground fuel storage tanks at the Corporate Yard, fuel tanks are located at the Police facility, Fire Station No. 4 and Fire Station No.5. Santa Ana City Ordinance No. NS-2312 authorizes the City to purchase against contracts with any public agency utilizing a competitive bid process, The County of Orange's cooperative contract with GP Resources, Inc, for unleaded fuel was awarded as a result of open, competi ti ve bidding, and meets the City's requirements. The original award in 2001 covered the initial first year and three one-year renewal options that will conclude this year. As such, the County of Orange has elected to extend the current contract with GP Resources, Inc. instead of re-bidding the commodity, The new contract changes the unleaded fuel price structure from the weekly Oil Price Information Service published rate, plus required taxes and fees, to the daily Oil Price Information Service published rate, plus required taxes and fees. The award amount is based upon past usage and staff projections for the next contract period. Staff recommends the renewal of the contract, 228-1 C5383 Contract Renewal for Unleaded Fuel (Spec, 00-169) May 2, 2005 Page 2 FISCAL IMPACT Funds are available in the Equipment Maintenance-Garage Operation Gasoline and Diesel Fuel account (account no. 75-111-6382) The amount of the contract is estimated, as the actual expenditures will depend upon the requirements throughout the annual period. =t (\r-~~ ~.i"J '1\, ~-:~ ' ,,:c-, Francisco Gutierrez 1-.1 l Executive Director Finance and Management Services Agency 228-2