TITLE
Consider a memorandum/resolution authorizing the award of Bid No. 19-02 for Petroleum Products and Diesel Exhaust Fluid (DEF).
SUMMARY
DATE: October 23, 2018
TO: Ronald L. Olson, City Manager
FROM: Jonathan Locke, Executive Director of Finance
SUBJECT: Authorize the award of purchase agreements to American Lube Supply and Arnold Oil Co. for Petroleum Products and Diesel Exhaust Fluid (DEF), Bid No. 19-02.
BACKGROUND AND FINDINGS:
On September 7, 2018, at 3:00 pm, bids were opened and read aloud for the procurement of the City’s estimated annual requirements of petroleum products and diesel exhaust fluid (DEF). This bid request included the fourteen (14) most often used products. Fleet Services utilizes these products on a daily basis to service the City’s fleet. The costs are charged to the departments as the products are used. During the preceding three fiscal years, FY2016, FY2017 and FY2018, the cost of the products has been $72,506, $75,642 and $81,039 respectfully.
Six (6) vendors submitted bids. After careful review of the bids, two (2) vendors are recommended for two (2) different portions of the City’s petroleum products and DEF needs. American Lube Supply submitted the most cost effective petroleum products bid. Arnold Oil Co. submitted the most cost effective DEF bid.
The contracts awarded under this bid are based upon unit pricing and would be for a term of one (1) year with the option to renew for three (3) additional one (1) year periods.
Summary of bid totals for Petroleum Products (meeting specifications) and DEF are listed below:
VENDOR Petroleum Products DEF
Allied Sales $88,930.59 $8,267.00
American Lube Supply $47,962.09 $11,363.00
Arnold Oil Co. $73,979.16 $6,468.00
Big Chief Distributing $73,526.53 $10,060.00
Certified Laboratories $95,443.00 No Bid
Sun Coast Resources $62,739.22 $16,680.00
Recommended bid award per unit pricing is outlined below:
American Lube Supply
Products Price
Engine Oil 15W40 B...
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