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HomeMy WebLinkAboutCoral Gables Agenda SummaryCity of Coral Springs City Commission Agenda Item SUMMARY SHEET CITY COMMISSION MEETING OF: May 3, 2005 DEPARTMENT: PREPARED BY: COPIES TO: SUBJECT: REQUESTED ACTION: Financial Services Department/Purchasing Division Angelo Salomone, Purchasing Administrator T. Planco, Central Stores Coordinator R. Jensen, Fleet Services Superintendent R. Glasco-Foderingham, Assistant City Attorney D. Russek, Financial Services Director S. Goren, City Attorney Diesel Fuel #2 and Biodiesel Agenda Item: Initials: Award Southeast Florida Governmental Purchasing Cooperative Group Contract STAFF RECOMMENDATION: Location: X Award the contract for Diesel Fuel #2 and Biodiesel through the Southeast Florida Governmental Purchasing Cooperative Group, Bid # 05-A-120F, to the following firms: PRIMARY AWARD: BV Oil Company, Items 1, 3 & 4 Mansfield Oil Company, Items 5 Tropic Oil Company, Items 6 & 7 SECONDARY AWARD: Port Consolidated, Inc., Item I BV Oil Company, Items 5 Mansfield Oil Company, Items 3 & 4 beginning June 1, 2005 for the Diesel Fuel #2, items 1 and 3 thru 5, and July 6, 2005 for items 6 and 7 biodiesel, both to terminate on May 31, 2006, The estimated annual expenditure for the City of Coral Springs under this contract is approximately $152,000 for diesel products at current pricing and approximately $38,000 for biodiesel at current pricing. City Wide Specific NA ATTACHMENTS AVAILABLE ON DISK: Bid Tabulation ATTACHMENTS AVAILABLE ON HARD COPY: CITY OF CORAL SPRINGS CITY COMMISSION MEETING OF May 3, 2005 Subject: DIESEL FUEL #2 AND BIODIESEL Background Information: 1. Using Departrnent(s): City -Wide 2. Justification for Award Recommendation: X 3. Funding: Most responsive and responsible Bidder Highest ranked Proposer Other Account Number: N/A Account Balance: $ N/A Date: Project Balance: $ N/A Date: Account Description: Revolving Account for Central Stores Stocked Item 4. Is this item in the adopted budget? X Yes No 5. Is this item in the CIP? Yes X No 6. No. of Vendors solicited: 10 No. of Coral Springs firms solicited: 0 No. of Vendors responding: 6 7. Agreement Info: 8. Insurance: 9. Additional information: Contract executed by Firm X N/A X Approved N/A The City of Coral Springs, acting as lead agency for the purchase of diesel fuel #2 and biodiesel fuel for the Southeast Florida Governmental Purchasing Cooperative Group has solicited bids for this necessary commodity, using the estimated usage of the 22 agencies that chose to participate in this procurement. It is estimated that the value of this contract in total will exceed $14 million dollars judged by today's prices. The Coop buys diesel fuel #2 and biodiesel on a formula in which prices are based on the average weekly closing price as published in the Oil Price Information Service (OPIS) report from Miami, Florida, plus a markup. This markup has risen approximately $ .02 per gallon for the diesel fuel #2 low sulfur and dropped $ .01 per gallon for the diesel fuel #2 high sulfur from the previous contract. The diesel fuel #2 red dye low sulfur products are both new to this Memorandum to City Commission Diesel Fuel #2 and Biodiesel May 3, 2005 Page 3 Cooperative bid. In the case of biodiesel, the market has smoothed considerably in the past 6 months, and a reduction in the markup was experienced from $ .77 to $ .415 per gallon. The supply of material used to add to diesel product, basically vegetable oil, has become more stable in the past 6 months, as was expected. The members of the Cooperative Group have done business with all of the vendors recommended for award, and all vendors have a positive history with the Coop members in regards to on time delivery of quality products. Each bidder was required to submit information regarding their sources of supply and ability to obtain and deliver diesel and biodiesel products under both normal and emergency situations. Each of the bidders has demonstrated a capacity to meet these requirements and satisfy the demands of the Cooperative Group for these critical commodities. Note: Item #2 on this bid, Diesel Fuel #2, low sulphur transport will NOT be awarded, as Broward County has been able to renew the product from an existing contract at a favorable rate.