Explanation
Background: This legislation authorizes the Finance and Management Director to issue purchase orders for credit card fuel purchases and bulk fuel (unleaded gasoline, diesel, and bio diesel) deliveries for the Fleet Management Division. Formal competitive bids were taken by the Purchasing Office and a Universal Term Contract is in place for the credit card fuel purchases. The Fleet Management Division will use the State of Ohio General Distribution contracts with BP Products for bulk fuel purchases.
Fiscal Impact: The Fleet Management Division budgeted $9.0 million for fuel in 2008 at approximately $2.55/gallon. The City used approximately 3.5 million gallons of fuel per year. This legislation authorizes $1.7 million for credit card fuel purchases and $2.8 million for bulk fuel purchases, for a total expenditure of $4.5 million.
Further legislation will be necessary in the latter part of 2008 for both credit card and bulk fuel purchases. The Fleet Management Division spent $10 million for fuel in 2007, and $8.3 million for fuel in 2006.
Emergency action is requested in order to ensure an uninterrupted supply of credit card fuel purchases and bulk fuel deliveries.
Title
To authorize and direct the Finance and Management Director to issue purchase orders for credit card fuel and bulk fuel purchases (unleaded gasoline, diesel, and bio diesel) for the Fleet Management Division, to authorize the expenditure of $4,500,000.00 from the Fleet Management Services Fund; and to declare an emergency. ($4,500,000.00)
Body
WHEREAS, Universal Term Contracts (UTC) have been established through the formal competitive bid process for credit card and bio diesel fuels, and
WHEREAS, General Distribution contracts have been established through the formal competitive bid process by the State of Ohio for bulk fuel purchases, and
WHEREAS, the Fleet Management Division has a need to purchase credit card and bulk fuels (unleaded g...
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