Title
Fuel Terminal Services Contract - RFA 24-FSD-024 Request for Award (Ordinance S-50246)
Description
Request to authorize the City Manager, or his designee, to enter into a contract with Caljet of America, LLC to provide fuel storage and pipeline space for the Public Works Department. Further request to authorize the City Controller to disburse all funds related to this item. The total value of the contract will not exceed $972,000.
Report
Summary
The City of Phoenix Public Works Department is responsible for procuring fuel for the majority of the City. This fuel must be moved through a pipeline, as well as stored and blended locally for fuel trucks to distribute to designated citywide fuel sites. This contract will provide pipeline receipts, guaranteed storage space, as well as loading services at the rack with additive injection capabilities.
Procurement Information
In accordance with Administrative Regulation 3.10, standard competition was waived as a result of an approved Determination Memo based on the following reason: Special Circumstances Without Competition, citing unusual nature. The City of Phoenix requests storage space, blending and loading capabilities that are only provided by a limited number of vendors, and due to the volume of fuel purchased, fuel storage terminal services connected to the pipeline are currently required.
Contract Term
The contract will begin on or about Dec. 1, 2023, for a two-year term with no options to extend.
Financial Impact
The contract value for will not exceed $972,000 for the two-year term.
Funding is available in the Public Works Department's budget.
Department
Responsible Department
This item is submitted by Deputy City Manager Mario Paniagua and the Public Works Department.