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Home My WebLink AboutPR 17408: DYED, OFF-ROAD DIESEL PUBLIC WORKS DEPARTMENT COUNCIL ACTION MEMO TO Floyd T. Johnson, City Manager FROM Ross E. Blackketter, P.E., Director of Public Works SUBJECT P.R. #17408 — Dyed, Off -Road Diesel DATE 14 November 2012 RECOMMENDATION: It is recommended that the City Council approve Proposed Resolution No. 17408, authorizing the renewal (2 year) of the contract for dyed, off -road diesel to Spidle & Spidle, Inc. This contract is for a not to exceed amount of $190,000 for this year. BACKGROUND: This is the renewal of an annual contract for dyed, off -road diesel for the City landfill. This is the only renewal for this contract. It will be rebid next year. The first year of this contract was awarded based on the bid of providing dyed, off -road diesel for a price of $0.045 above the OPIS. Purchasing contacted Spidle & Spidle who has agreed to maintain that pricing. BUDGETARY /FISCAL EFFECT: Funds are provided in the landfill budget 403 -1274- 533.24 -00. EMPLOYEE /STAFF EFFECT: None. SUMMARY It is recommended that the City Council approve Proposed Resolution No. 17408, authorizing the renewal (2 year) of the contract for dyed, off -road diesel to Spidle & Spidle, Inc. This contract is for a not to exceed amount of $190,000 for this year. Ross E. Blackketter, P.E. Director of Public Works REB /reb S:\ engineer\ Documents \Contracts \Diesel \S&S Off -Road Diesel CAM- 12.docx 1 P.R. 17408 11/14/12 reb RESOLUTION NO. A RESOLUTION AUTHORIZING THE RENEWAL (2 YEAR) OF THE CONTRACT BETWEEN THE CITY OF PORT ARTHUR AND SPIDLE & SPIDLE, INC. OF PORT ARTHUR, TEXAS FOR DYED, OFF -ROAD DIESEL FOR A NOT TO EXCEED AMOUNT OF $190,000 FOR THE YEAR. ACCOUNT NO. 403- 1274 - 533.24- 00. WHEREAS, the City purchases dyed, off -road diesel for use at the City landfill; and, WHEREAS, per Resolution 11 -433, the City entered into a one year agreement with the option to renew for one (1) additional year with Spidle & Spidle, Inc. for dyed, off-road diesel; and, WHEREAS, the bid was based on a price differential above the Oil Price Information Service (OPIS) PADD 3 Report for the Beaumont/Port Arthur area; and, WHEREAS, Spidle & Spidle, Inc. has agreed to maintain the bid price of $0.045 above OPIS (see Exhibit "A "); now, therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR: THAT, the facts and opinions in the preamble are true and correct; and, THAT, the City Manager is hereby authorized to execute the second year of a contract, attached hereto as Exhibit "B ", with Spidle & Spidle, Inc. of Port Arthur, Texas, for an amount not to exceed $190,000 for this year; and, THAT, a copy of the caption of this Resolution be spread upon the Minutes of the City Council. READ, ADOPTED, AND APPROVED this the day of , A.D. 2012 at a meeting of the City of Port Arthur, Texas by the following vote: AYES: Mayor Councilmembers: P.R. 17408 Page 2 Noes: Mayor ATTEST: Sherri Bellard City Secretary APPROVED AS TO FORM: \rou2_ Valecia Tizeno City Attorney APPROVED FOR ADMINISTRATION: APPROVED AS TO AVAILABILITY OF FUNDS: Oaszlija‘f Floyd T. Johnson Deborah Echols, CPA City Manager Director of Finance J •" Ross E. Blackketter, P.E. Shawna Tubbs, CPPO Director of Public Works Purchasing Manager S:\engineer\Documents\Contracts\Diesel\PR17408.docx EXHIBIT A D LORIS ` 1013I3nr PLACE, MAYOR WILLIE "aAE" LEWTS, MAYOR FRO t�M FLOYD T. JOHNSON COUNCIL MEMBERS: CITY A4ANAGBR, 1�4V. A 'COTT, IR %4> : `t om : ' � 1 rl SHERRI BELLARD ELIZABETH "LIZ" SELLER \ A CITY SECRETARY MORRIS , AJLBRIGir: M HAROLD L. DOVCST, SR. • rt rth u vAL =ENO ROBERT E, "BOW' WILLIAMSON CITY ATTORNEY DERRICK FREEMAN TO= KERRY "TWIN" THOMAS Spidle & Spidle Inc. — Dyed Diesel Fuel Original Contract Period: October 11, 2011 to October 10, 2012 Original Contract Noe: M45 above OPlS Proposed Contract Renewal Period: October Ill, 2012 to October 10, 2013 ti z agree to renew my existing contract at the original contract price and proposed renewal period lasted above. 0 1 disagree (if so, please give brief explanation) • �� D s ° � 1 C ag) ' L /coo Printed Name Telephone No S i a Date Must be signed by a person having authority to bind the &m,in a contract. Ircl D; 9tbF• CVO. CIT ».. Mas SPZ P.Q. Sox 1 �9 i 444 �� Street Port Arthur, Texas 776411 409.983.8I60 1 Fax 409.983.8291 www p rt�rthu purcha r net TO /TO 39tid 1I0 3 - IQIdS - — — - 29S9E86600 Et :60 ZTOZ /OT /OT EXHIBIT B CONTRACT FOR DYED, OFF -ROAD DIESEL THIS AGREEMENT, made this 11 day of December , 2012, by and between the City of Port Arthur, a municipal corporation organized under the laws of the State of Texas, hereinafter called "OWNER" or "CITY" and Spidle & Spidle, Inc. a(n) corporation herein acting Individual, firm, partnership, or corporation by and through William D. Spidle hereinafter called "CONTRACTOR ". WITNESSETH: That, for and in consideration of, the payment terms, conditions, and agreements set forth herein, OWNER and CONTRACTOR agree as follows: 1. Last year, the City entered into a one -year contract with the option of renewal for one additional year. The parties hereby agree to exercise said option for the second year. 2. The term of this Contract shall be from the date of execution to 10 October 2013. This is the final year of this contract. The bid was based on a price differential above the Oil Price Information Service (OPIS) PADD 3 Report for the Beaumont/Port Arthur area. 3. During the term of this Contract, the CONTRACTOR will furnish at his own expense all of the materials, supplies, tools, equipment, labor, and other services necessary to connection therewith, excepting those supplies specifically not required of CONTRACTOR in the Specifications. 4. The CONTRACTOR agrees to perform all the work described in the Specifications and contract documents and comply with the terms therein for unit prices as stated below: DYED, OFF -ROAD DIESEL Unit Cost $ 0.045 above OPIS 5. The term "Contract Documents" means and included the following: (A) Agreement (B) Invitation to Bid* (C) General Information* (D) Specifications* (E) Bid* (F) Bidder's Information Sheet* S:\ engineer\ Documents \Contracts \Diesel \Spidle&Spidle Diesel Contract- 12.docx 6. This Agreement shall be binding upon all parties hereto and their respective heirs, executors, administrators, successors, and assigns. 7. IN WITNESS WHEREOF, the parties hereto have executed, or caused to be executed by their duly authorized officials, the Agreement in two (2) copies, each of which shall be deemed an original on the date first above written. OWNER CONTRACTOR BY: BY: City Manager Floyd T. Johnson Witham D. Spidle Printed Name Printed Name * These items were attached to the original letting contract. The agreement only is included for this renewal. S:\ engineer\ Documents \Contracts \Diesel \Spidle&Spidle Diesel Contract- 12.docx