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HomeMy WebLinkAboutB. SANDIFER'S LP GAS CO. - PROPANE GASCITY OF PORT ARTHUR, TEXAS . MAYOR AND CITY COUNCIL COMMUNICATIONS Date: Reference No. Subject : Page 5-23-0~ Recommendation to Award Propane Gas Fuel Bid to Sandifer's I of 2 L. P. Gas for the Transit De artment RECOMMENDATION: The Transit Department recommends that the City Council award the bid for supplying GC #14 Propane Gas for the City's Transit Service Center to Sandifer's L.P. Gas of Port Arthur, Texas for and estimated amount of $242,760. The bid is-for one (1) year with the option to renew for one (1) additional year for the following two (2) years. These expenses will be charged to Transit Inventory/Stores Account Number: 401-000-142.10-00. BACKGROUND: This bid was advertised in the Port Arthur News on April 27, 2008 and May 4, 2008. Bids were mailed to four (4) vendors; only one (1) bid was received. Bidders were required to bid a price above or below the average price published by the Oil Price Information Service (OPIS) PAD3 Report for the Beaumont/Port Arthur azea or a firm fixed price. GC #14 Propane Gas Sandifer's L.P. Gas Co. 0.680976 ABOVE OPIS The Rack price at the time of the bid was $2.3759 for Propane L.P. Gas. The Transit Department utilized 102,000 gallons of Propane Gas in 2007. BUDGET/FISCAL EFFECT: Funding for the propane gas purchases in available from Transit Inventory/Stores Account Number: 401-000-142.10-00. As the fuel is utilizerDconsumed from the Inventory/Stores Account it will be expensed to Transit Account Numbers: 401-1501-561.24-00 and 401-1506- 561.24-00, respectively. STAFF/EMPLOYEE EFFECT: Acceptance of the recommendation will have no effect on staffing levels. Prepared by: Disposition by Council: Processed: TK:ja Approved by: ( )Approve ( )Other (Describe) City Secretary Dale: CITY Off' PORT ARTHUR, TEXAS MAYOR AND CITY COUNCIL COMMUNICATIONS Date: Reference No. Subject Page. 5-23-08 Recommendation to Award Propane Gas Fuel Bid to Sandifer's 2 of 2 L. P. Gas for the Transit De artment SUMMARY: The Transit Department recommends that the City Council award the bid for supplying GC #14 Propane Gas for the City's Transit Service Center to Sandifer's L. P. Gas of Port Arthur, Texas for an estimated amount.of $242,760. Funding for current and future propane gas purchases are available from Transit Inventory/Stores Account 401-0000-142.10-00, and as consumed will be expensed to Transit Account Numbers 401-1501-561.24-00 and 401-1506-561.24-00, respectively. -~ L~ Tom Kestranek Transit Manager e~~ Rebecca Underhill Director of Finance Colleen Director ,1~,,,,4 ~ I~;/ Shawna Tubbs Purchasing Manager IJNWORD/COUNCIL Prepared by: Disposition by Council: Processed: TK:ja Approved by: ( )Approve ( )Other (Describe) City Secretary Date: