CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
title
Approve the award of Option Year #1 to Contract 23-046.1, Fuel Delivery - Motor Fuel & Tank Wagon, to Luke Oil Company, Inc. and Al Warren for an amount not to exceed $1,772,166.55
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DEPARTMENT: Department of Public Works
SUBMITTED BY: Richard Dublinski, Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
The City Council awarded Contract 23-046 to Luke Oil Company, Inc. and Al Warren on April 18, 2023, for a one-year term from April 1, 2023, to March 31, 2024, with four, one-year options to extend.
The purpose of this contract is to procure motor fuel and tank wagon fuel deliveries for the City’s fleet. Through an intergovernmental agreement, the City also supplies fuel to School Districts 203 and 204, Naperville Public Library and Naper Settlement.
DISCUSSION:
During the original term of the contract, Luke Oil Company, Inc. and Al Warren processed more than 20 fuel delivery orders. Both vendors delivered within the timeframe required by the City and adhered to the pricing terms of their contracts.
Based on the vendors’ performance, Fleet Services recommends extending the contracts for the first option year. Both vendors have agreed to maintain the rates and terms provided under the contract.
The term of the first option year is April 1, 2024, to March 31, 2025, with three, one-year options remaining on the agreement.
FISCAL IMPACT:
CIP#: N/A
Motor fuel and tank wagon fuel delivery is expensed to the Fuel account below. A total of $1,676,300 is budgeted for fuel in 2024. The requested award of $1,772,166.55 is divided across two fiscal years, with $1,329,000 forecast to be spent in 2024. Sufficient funds will be budgeted in 2025 for this expense.
|
Account Number |
Fund Description |
Total Budget Amount |
|
31351100-541403 |
General Fund |
$1,676,300 |