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HomeMy WebLinkAboutPR 18647: PETROLEUM TRADERS CONTRACT P. R. 18647 10/15/14 aw PUBLIC WORKS DEPARTMENT COUNCIL ACTION MEMO TO: John A. Comeaux, P.E., Interim City Manager FROM: Allison Walker, Public Works Administrative Assistant DATE: October 16, 2014 SUBJECT: P.R.18647—Dyed, Off-Road Diesel Fuel COMMENTS RECOMMENDATION: It is recommended that the City Council approve Proposed Resolution No. 18647, approving the first year of a contract with the option to renew for an additional year with Petroleum Traders Corporation of Fort Wayne, Indiana, for dyed, off-road diesel fuel in the not-to-exceed amount of$200,000 for this year. BACKGROUND: This is an annual contract for dyed, off-road diesel fuel that will be used by the City Landfill. This is an annual contract with the option to renew for an additional year. The bids are based on a price differential above the Oil Price Information Service (OPIS). Six bids were received with Petroleum Traders Corporation of Fort Wayne, Indiana, being the lowest and most responsible bidder. BUDGETARY/FISCAL EFFECT: Funding is available in account no. 403-1274-533.24-00. EMPLOYEE/STAFF EFFECT: None. SUMMARY: It is recommended that the City Council approve Proposed Resolution No. 18647, approving the first year of a contract with the option to renew for an additional year with Petroleum Traders Corporation of Fort Wayne, Indiana, for dyed, off-road diesel fuel in the not-to-exceed amount of$200,000 for this year. P. R. 18647 10/15/14 aw RESOLUTION NO. A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE THE FIRST YEAR OF THE CONTRACT BETWEEN THE CITY OF PORT ARTHUR AND PETROLEUM TRADERS CORPORATION OF FORT WAYNE, INDIANA, FOR DYED, OFF ROAD DIESEL IN THE NOT-TO-EXCEED AMOUNT OF $200,000.00 PER YEAR. PUBLIC WORKS LANDFILL FUEL AND LUBRICATION ACCOUNT NO. 403-1274-533.24-00. WHEREAS,the City purchases dyed, off-road diesel for use at the City Landfill; and WHEREAS, six bids was received and opened on October 8, 2014, for the above referenced material and have been evaluated by Public Works and Purchasing, with one Port Arthur vendor bidding as shown in the tabulation attached as Exhibit"A"; and, WHEREAS, the bids are based on a price differential above the Oil Price Information Service (OPIS); now therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT,the facts and opinions in the preamble are true and correct; and, THAT, the City Manager is hereby authorized to execute the first year of a contract attached hereto as Exhibit `B" for dyed, off-road diesel with the option of renewal for an additional year with Petroleum Traders Corporation of Fort Worth, Indiana, in an amount not-to- exceed $200,000.00 per year; and, THAT, funding is available in account no. 403-1274-533.24-00; 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. 2014 at a meeting of the City of Port Arthur, Texas by the following vote: P. R. 18647 10/15/14 aw AYES: Mayor Councilmembers: Noes: Mayor ATTEST: Sherri Bellard City Secretary APPROVED AS TO FORM: \r:Ca C Valecia Tizeno City Attorney APPROVED FOR ADMINISTRATION: APPROVED AS TO AVAILABILITY OF FUNDS: 649444/fatie- John A. Comeaux, P. E. Deborah Echols, CPA Interim City Manager Director of Finance LL. 4/ _ ` M A Sue Polka, P. E. Shawna Tubbs, CPPO Director of Public Works Purchasing Manager P. R. 18647 10/15/14 aw Exhibit "A" e W 2. eD o Z S. 1 I mt-O 't efl R 1 b o Z. b CA 13-I 0 O O O = RD IICC w) Fri It b► b eD '-d; O e• n tC1. � a eo O ° W of0 t M On °o a e y I° e+ O P vl . b n -, CA y V c a z p 10 CrO d O a o o 0, °e eD n efl d a ¢+ b y O '.c m y �, O y "O! O A r* to eD d a. t-r• C C et) 0 C - II Uri ►d `d• ro cn EA 0. eD 00 AU d 00 C N 0 O A N M c DA °O A q O s O - • (C y p a b 0 z• a cA co cA 2• c V) a '1 Co 0 b - e •pz 2 o F C .- C �0 b Oro et =• w es Pt - CA 5 P. R. 18647 10/15/14 aw Exhibit "B" P. R. 18647 10/15/14 aw CONTRACT FOR DYED, OFF-ROAD DIESEL THIS AGREEMENT, made this the of , 2014, 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 Petroleum Traders Corporation, hereinafter called "CONTRACTOR". WITNESSED: That for and in consideration of the payment terms, conditions and agreements set forth herein, OWNER and CONTRACTOR agree as follows: 1. The term of this Contract shall be for one (1) year from the date issued on the Notice to Proceed unless sooner terminated under the provision hereof, and said contract can be renewed by mutual agreement for one additional one-year period. The bid was based on a price differential above the Oil Price Information Service (OPIS). Each subsequent yearly contract renewal shall require approval of the City Council. The City can terminate this contract at its convenience which includes, but not limited to, funding not being available in any budget cycle with thirty days written notice. 2. 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 on CONTRACTOR in the Specifications. 3. 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 $.0356 above OPIS 4. The term "Contract Documents"means and includes the following: 1) Agreement 2) Invitation to Bid 3) General Information 4) Specifications 5) Bid 6) Bidder's Information Sheet 5. This Agreement shall be binding upon all parties hereto and their respective heirs, executors, administrators, successors, and assigns. P. R. 18647 10/15/14 aw 6. IN WITNESS WHEREOF, the parties here to have executed, or caused to be executed by their duly authorized officials, this Agreement in two (2) copies, each of which shall be deemed an original of the date first written above. OWNER CONTRACTOR CITY OF PORT ARTHUR PETROLEUM TRADERS CORPORATION BY: BY: John A. Comeaux, P. E. Interim City Manager Print Name: Title: