Explanation
Background:
This legislation authorizes the Finance and Management Director to issue purchase orders for ultra low sulfur diesel, bio/diesel, ethanol and unleaded fuel (including fuel purchased through MPC Investments LLC: Speedway LLC, SuperFleet) for the Fleet Management Division. Formal competitive bids for bio/diesel were received by the Purchasing Office and a Universal Term contract is in place with Central Ohio Farmers Co-Op, as authorized by Ordinance 1197-2009. A Universal Term Contract, authorized by Ordinance 2280-2012, exists for fuel credit card purchases with MPC Investments LLC (Speedway LLC, SuperFleet). A purchase order with Beem's BP Distribution for unleaded bulk fuel deliveries was authorized by Ordinance 2078-2011. The Beem's BP Distribution contract was established through the formal competitive bid process of Franklin County for bulk unleaded fuel purchases.
Ordinance 2078-2011 also waived the competitive bidding process of the Columbus City Codes, in order to allow the continued use of the Beem's BP Distribution contract. To continue uninterrupted unleaded fuel deliveries at the lowest possible price and in comparing the State of Ohio contract with Franklin County contract, Beem's Distribution Inc. provides a lower delivery price of $0.059 per gallon. The City does not have a formal cooperative purchasing agreement with Franklin County, as it does with the State of Ohio Department of Administrative Services. Accordingly, the competitive bidding provisions of the City Codes must again be waived in order to participate in this Franklin County contract.
During 2013, the Fleet Management Division is budgeted to spend in excess of $3.1 million for parts and over $1.8 million for services to keep the City's fleet of approximately 5,000 vehicles in operation. Fleet Management processes over 40,000 work orders annually for all City vehicles and equipment and requires purchase orders with over 400 companies to help meet this need. However, despite these best efforts, when a vehicle repair becomes necessary there may not be a purchase order in place for the correct part or service. As such, this ordinance also authorizes the Finance and Management Director to create purchase orders in emergency situations only with those vendors necessary to provide the part or repair service needed.
These companies are not debarred according to the Federal excluded parties listing or prohibited from being awarded a contract to the Auditor of State unresolved findings for recovery certified search.
MPC Investments LLC Contract Compliance Number: 27-1287018 expires 05/21/2014
Central Ohio Farmers Co-Op Contract Compliance Number: 31-1717226 expires 08/23/2013
Beem's BP Distribution Contract Compliance Number: 34-1906729 expires 01/03/2014
Fiscal Impact: This legislation authorizes an expenditure of $2,150,000.00 with various vendors to purchase fuel and emergency service. Funding is available within the Fleet Management Division 2013 Operating Budget for these expenditures.
Emergency action: is requested to ensure an uninterrupted supply of fuel and emergency service for City equipment. This fuel is used by all City vehicles, including Police, Fire and Refuse Collection vehicles.
Title
To authorize the Finance and Management Director, on behalf of Fleet Management Division, to issue purchase orders with various vendors to purchase fuel per the terms and conditions of various Universal Term Contracts, as well as for contracts for emergency repair services; to authorize the expenditure of $2,150,000.00 from the Fleet Management Service fund; to waive the competitive bidding provisions of the Columbus City Codes, 1959; and to declare an emergency. ($2,150,000.00)
Body
WHEREAS, the Finance and Management Department, Fleet Management Division, has a need to purchase fuel and emergency service for use by various City departments including: Police, Fire and Refuse Collection; and
WHEREAS, the Finance and Management Department, Fleet Management Division, has a need to purchase bio/diesel bulk fuel, ethanol, and unleaded bulk fuel and universal credit card purchases for use by various City department vehicles; and
WHEREAS, a Universal Term contract (UTC) has been established through the formal competitive bid process for bulk bio/diesel fuel and universal credit card purchases; and
WHEREAS, a contract has been established through the formal competitive bid process of Franklin County for bulk unleaded fuel purchases with Beem's BP Distribution Inc.; and
WHEREAS, the Fleet Management Division has a need to purchase unleaded bulk fuel and it is in the City's best interests to waive the competitive bidding requirements of the Columbus City Codes; and
WHEREAS, it is necessary to reserve emergency funding for various unforeseen vehicle service expenditures; and
WHEREAS, an emergency exists in the usual daily operation of the Finance and Management Department, Fleet Management Division in that it is immediately necessary to issue a purchase orders for fuel and for contracts for emergency vehicle services to ensure uninterrupted supply and service for City vehicles, including Police, Fire, and Refuse Collection Division vehicles, 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 and Management Director is hereby authorized to issue a purchase order with Central Ohio Farmers Co-op for Ultra Low Sulfur Diesel and Bio Diesel fuel.
Section 2. That the expenditure of $1,000,000.00 or so much thereof that may be necessary in regard to the action authorized in Section 1, be and is hereby authorized and approved as follows:
Division: 45-05
Fund: 513
OCA Code: 451347
Object Level One: 02
Object Level Three: 2286
Amount: $1,000,000.00
Section 3. That the Finance and Management Director is hereby authorized to issue a purchase order for ethanol and unleaded fuel for the Fleet Management Division per the terms and conditions of a Franklin County Commissioners contract as follows:
Beem's BP Distribution Inc
CC# 341906729 expires 01/03/2014
Unleaded gasoline
Object Level three: 2280
Contract expires 01/03/2014
Section 4. That the Finance and Management Director is hereby authorized to issue purchase orders with MPC Investments LLC (Speedway LLC, SuperFleet) for Universal fuel credit card services.
Section 5. That the expenditure of $1,000,000.00 or so much thereof that may be necessary in regard to the action authorized in Sections 3 and 4, be and is hereby authorized and approved as follows:
Division: 45-05
Fund: 513
OCA Code: 451347
Object Level One: 02
Object Level Three: 2280
Amount: $1,000,000.00
Section 6. That the Finance and Management Director is hereby authorized to issue purchase orders with various vendors on behalf of the Fleet Management Division in order to repair City vehicles in emergency situations.
Department: 45-05
Fund: 513
OCA: 451347
Obj Level 03: 3373
Amount $150,000.00
Section 7. That the monies in the foregoing Sections shall be paid upon order of the Director of Finance and Management, and that no order shall be drawn or money paid except by voucher, the form of which shall be approved by the City Auditor.
Section 8. That the City Auditor is authorized to make any accounting changes to revise the funding source for all contracts or contract modifications associated with this ordinance.
Section 9. That in accordance with the Columbus City Codes, City Council determines that it is in the best interest of the City of Columbus that the competitive bidding requirements be and are hereby are waived for the action authorized in Section 3 of this ordinance.
Section 10. 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, nor ten days after passage, if the Mayor neither approves nor vetoes the same.