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Consider a memorandum/resolution awarding RFP 25-32, Aviation Fuel Supplier and authorizing an agreement with Avfuel Corporation, for fuel services at Killeen Regional Airport and Skylark Field, in the amount of $340,000.00.
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DATE: September 16, 2025
TO: Kent Cagle, City Manager
FROM: Mike Wilson, Executive Director of Aviation
SUBJECT: Aviation Fuel Supply Agreement for Killeen Regional Airport and Skylark Field
BACKGROUND AND FINDINGS:
The City of Killeen, Aviation Department is pursuing a contract with a common aviation fuel supplier to secure a reliable and uninterrupted fuel supply essential for its aviation operations. This initiative seeks to enhance the quality of service provided while establishing a profitable arrangement for the acquisition of aviation fuel.
This strategic approach not only guarantees a consistent supply of aviation fuel but also positions the City to benefit from competitive pricing and quality service in the aviation sector.
A Request for Proposals (RFP#25-32) was advertised on June 23rd, 2025, and three proposals were received on July 30th, 2025. Proposals were submitted by Avfuel Corporation, AEG Fuels, and Titian Aviation Fuels. Following a thorough assessment of all submissions, staff determined that Avfuel Corporation's proposal meets the Airport's operational needs and provides the best value for the City of Killeen.
Staff has negotiated an Aviation Fuel Supply agreement with Avfuel Corporation. The term of the agreement is for a period beginning October 1, 2025, and ending September 30, 2027, with two one-year option periods.
The aviation fuel supply agreement provides goods that generate revenue for both Killeen Regional Airport (GRK) and Skylark Field Airport (ILE) through resale or contracted delivery to air operators. The contract is expected to generate approximately $541,724 in revenue, with estimated expenses totaling $340,000. Additionally, the agreement includes additional value-added ser...
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