SR-6-H (107)
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PURCH:PW:br/srbd2453 Santa Mon~ca, californJilfll f If _ -
Council Meeting: June 14, 1994
TO: Mayor and City CouDcll
FROM: City Staff
SUBJECT: Recommendation to Award Bid to Furnish and Deliver
Vehicle Fuels, Bid #2453
Introduction
This report concerns award of bld to furnish and deliver vehicle
fuels at specified unit prices, plus all applicable taxes, with
renewal options as specified In attached tabulatlon.
Background
In response to published Notices Inviting Bids (published March 10,
1994) to furn~sh and deliver vehicle fuels in accordance with City
specifications, bids were received and publicly opened and read on
Aprll 5, 1994 Proposal forms were ma~led to twenty-nine (29)
vendors and notices were advertised 1n accordance with City Charter
and Municipal code provisions Six ( 6) proposal s were received per
the attached tabulatlon.
Vehicle fuels for all locations were b1d per the attached
tabulation. In accordance with past practice of the City'S fuel
suppliers, bl.d fuel prices are based on the weekly publication
referred to as the nOil Prl.ce Informat~on Services" (OPIS) because
of price volatllity. Thl.S means that bids for the premium unleaded
JUN 1 ,. 199't
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gaso1ine, regular unleaded gasoline and 10% aromatic CARB diesel
are based on a "Fixed Adder or Dlscountll against this referenced
price exclusive of all taxes. The HOPISff pr~ce publ~shed on Monday
of each week will be the basis for prlces of products delivered
during the seven-day period commencing on Monday and running
through the follow1ng Sunday. It is necessary to establish a
reference point by uS1ng the "OPISlI publication in a volatile
market.
The bids were evaluated at the "Truck and Trailer" gallon levels as
this reflects the highest volume of usage throughout the various
locatlons. See attached 11 Fuel Tabu1ation" sheet for examples of
pricing.
The var~ous fuels are required to meet or exceed all regulations as
set forth by CARB (Californla Air Resources Board) and SCAQMD
(South Coast Air qual1ty Management District) 1n effect at the time
of delivery.
Staff has evaluated the low bids and finds that they meet City
specificatlons.
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Budget/Financial Impact
Flscal year 1994/95 appropriatlon authority for thlS purchase is in
the maintenance accounts of various departments. As the items are
used, they will be expended against available FY 1994/95
appropriation authority. For the perlod July I, 1994 through June
30, 1995, appropriation authority will be as set forth in the FY
1994/95 budget.
Recommendation
It is recommended that the award of Bid #2453 be split between two
vendors as follows: (1) Premium unleaded gasoline be awarded to
Falcon Fuels at speclfied unlt prices, plus all applicable taxes
with two one-year renewal options; (2) regular unleaded gasoline
and 10% aromat1c CARB diesel be awarded to Unocal at specified unit
prices, plus all applicable taxes, as the best bidders.
Prepared By: Pam Wortham, Purchas1ng Agent
Diane Howell, Buyer
6/1/94
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