Explanation
Background: This legislation authorizes and directs the Finance and Management Director to issue purchase orders for credit card fuel and bulk fuel purchases for the Fleet Management Division. Formal competitive bids were taken by the Purchasing office and a universal term contract is in place for credit card fuel purchases. The Fleet Management Division utilizes the State of Ohio and Franklin County universal term contracts with BP Products and Earhart Petroleum Incorporated respectively, for bulk fuel purchases. The state contract expires April 30, 2009.
Fiscal Impact: The Fleet Management Division budgeted $9 million for fuel in 2006 or approximately $2.55/gallon. Thus far Fleet Mangement has legislated $4.55 million for fuel purchases. This legislation authorizes an additional $4.48 million for fuel purchases through the end of 2006.
It is conceivable, depending upon fuel price increases, that further legislation may be necessary in the latter part of 2006 for fuel purchases. The Fleet Management Division spent $7.7 million for fuel in 2005, $5.2 million in 2004 and nearly $4.7 million for fuels in 2003.
Emergency action is requested in order to ensure an uninterrupted supply of fuel for the city's fleet.
Title
To authorize and direct the Finance and Management Director to issue purchase orders for credit card and bulk fuel purchases for the Fleet Management Division, to authorize the expenditure of $4,480,000.00 from the Fleet Management Services Fund, and to declare an emergency. ($4,480,000.00)
Body
WHEREAS, a Universal Term Contract (UTC) have been established through the formal competitive bid process for credit card fuel, and
WHEREAS, contracts have been established through the formal competitive bid process by the State of Ohio and Franklin County for bulk fuel purchases, and
WHEREAS, the Fleet Management Division, Public Service Department has a need to purchase credit card and bulk fuels, and
WHEREAS, an emergency exists in the usual daily operation of the Fleet Management Division, Public Service Department, in that it is immediately necessary to issue purchase orders for credit card and bulk fuel purchases, and to ensure an uninterrupted fuel supply thereby preserving the public health, peace, property, safety, and welfare; now, therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. That the Finance Director is hereby authorized and directed to issue purchase orders for the Public Service Department, Fleet Management Division, per the terms and conditions of Universal Term Contracts, as follows:
BP Products - State GDC027E / CT#RS908906
CC# 362440313 expires 4/30/09
Gasoline
Object Level Three 2280
Contract expires - 4/30/09
BP Products - State GDC027E / CT#RS908906
CC# 362440313 expires 04/30/09
Diesel Fuel
Object Level Three 2286
Contract expires 4/30/09
Earhart Petroleum Incorporated - County ITB 2005-02-51
CC# 311007351 expires 4/6/08
Gasoline
Object Level Three 2280
Contract expires 8/31/07
Earhart Petroleum Incorporated - County ITB 2005-02-51
CC# 311007351 expires 4/6/08
Diesel Fuel
Object Level Three 2286
Contract expires 8/31/07
US Bank Voyager - FL001215
CC# 760476053 expires 07/15/08
Credit Card gasoline
Object Level Three 2280
Contract expires - 7/31/08
Section 2. That the sum of $4,480,000.00, or so much thereof as may be necessary, is hereby authorized to be expended from the Fleet Management Services Fund, 513, Department No. 59-05, OCA Code 591347, Object Level One 02 as follows to pay the cost thereof:
Object Level Three Code Amount
2280 $ 2,709,897.00
2286 $ 1,770,103.00
Total $4,480,000.00
Section 3. That for reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.