HomeMy WebLinkAbout~Master - CyRide Fuel Purchase for calendar year 2015 RESOLUTION NO. 14-625
RESOLUTION APPROVING CYRIDE FUEL PURCHASE
FOR CALENDAR YEAR 2015
FOR THE CITY OF AMES,IOWA
WHEREAS, CyRide purchases approximately 350,000 gallons of fuel each year that it
divides into smaller purchases every 7 to 14 days; and,
WHEREAS, in order to procure fuel, CyRide, in cooperation with the City's Purchasing
Division, bids fuel annually for both diesel and biodiesel; and,
WHEREAS, for the 2015 calendar year, fuel bids were received November 20, 2014; and,
WHEREAS,the bid document states that fuel will be purchased at the market rate at the time
of purchase and the competition for the bid is the vendor's charge above or below that market rate
for delivery of the fuel; and,
WHEREAS, two firms, Petroleum Traders Corporation and Elliott Oil Company, were
significantly higher on both diesel and biodiesel for the above and below market rate; and,
WHEREAS,however,two bids,Keck Energy and REG Energy,were very competitive;and,
WHEREAS,based on a fuel delivery cost analysis of the two competitive bids,REG Energy
was determined to be the low bidder by$4,768.39; and,
WHEREAS, the analysis was based what CyRide would have paid under the two firms
pricing for diesel and biodiesel over the previous twelve-month period; and,
WHEREAS,in addition to awarding the fuel bid, CyRide will establish a maximum or total
contract amount for fuel costs so that the Transit Agency may order fuel when needed every 7 to 14
days under the successful bidder's contract; and,
WHEREAS,in estimating CyRide's maximum fuel cost for calendar year 2015,staff estimated
its fuel usage for the year and multiplied this times the budgeted price per gallon for the current and
next year; and,
WHEREAS,the award spans over two fiscal years, January 2015 through December 2015;
and,
WHEREAS, the total estimated cost for calendar year 2015 is $1,200,506.20.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ames, Iowa,
that the purchase of fuel from REG Energy for CyRide during calendar year 2015 in the maximum
total contract amount for fuel and delivery of$1,200,506.20 is hereby approved.
ADOPTED THIS 9t1i day of December, 2014.
cde�al a& A. tom• ���
Diane R. Voss, City Clerk Ann H. Campbell, Mayor
Introduced by: Goodman
Seconded by: Corrieri
Voting aye: Betcher, Corrieri, Gartin, Goodman,Nelson, Orazem
Voting nay: None Absent: None
Resolution declared adopted and signed by the Mayor this 9th day of December, 2014.