HomeMy WebLinkAbout11 Gasoline and Diesel Purchase Contract Agenda Item # 11
TRUCKEE DONNER
Public Utility DistrIct
CONSENT
To: Board of Directors
From: Jim Wilson
Date: September 05, 2012
Subject: Consideration of a Gasoline and Diesel Purchase Contract
1. WHY THIS MATTER IS BEFORE THE BOARD
Expenditures greater than $15,000 must be approved by the Board.
2. HISTORY
The District spends an average of $11 000 per month for motor vehicle fuel. Most of
the fuel is purchased is at the Flyers card lock fuel system on Church Street in
Truckee.
3. NEW INFORMATION
The anticipated migration from Flyers Energy to the Town of Truckee's new fueling
facility has been delayed due to technical and contractual reasons. Renewal of our
existing fuel purchase contract with Flyers Energy is therefore required.
On August 10, 2012, the District issued a request for bids for the supply of gasoline
and diesel fuel. On August 29, 2012, bids were opened. One bid was received from
Flyers Energy and was found to be responsive. Fuel cost proposal as received is
based on the daily Oil Pricing Information Service (OPTS) UBD Rack Average, plus
freight, plus $0.16 cents per-gallon; for fuel purchases at Flyers CFN fueling locations.
4. FISCAL IMPACT
The fuel contract will result in no additional fuel cost to the District as this is the same
pricing as in the previous contract. Sufficient funds exist in the approved FY12 Budget
for this expenditure.
5. RECOMMENDATION
Award the FY12 fuel contract for gasoline and diesel purchases to Flyers Energy, with
an option of two, one year contract extensions, of an annual not to exceed amount of
$160,000.
Stephen Hollabaugh Michael D. Holley
Assistant General Manager General Manager