Title
Fuel Terminal Services - Contract Recommendation (Ordinance S-49220)
Description
Request to authorize the City Manager, or his designee, to enter into an agreement with Caljet of America, LLC to provide fuel storage and pipeline space. Further request to authorize the City Controller to disburse all funds related to this item. The aggregate contract value will not exceed $432,000.
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, normal competition was waived as the result of a determination memo 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
This contract will be begin on or about Dec.1, 2022, for a one-year term.
Financial Impact
The aggregate contract value will not exceed $432,000.
Funding is available in the Public Works Department's budget.
Department
Responsible Department
This item is submitted by Deputy City Manager Karen Peters and the Public Works Department.