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EVERETT CITY COUNCIL AGENDA ITEM COVER SHEET <br /> PROJECT TITLE: 2 <br /> Purchase bulk fuel and tank Briefing COUNCIL BILL# <br /> deliveries from Washington Proposed Action Originating Dept. Finance/Purchasing <br /> State Contract 00311 Consent Contact Person Clark Langstraat <br /> Action Phone Number 425-257-8901 <br /> First Reading FOR AGENDA OF June 22, 2011 <br /> Second <br /> Reading <br /> Third Reading <br /> Public Hearing <br /> Initialed by: <br /> Department Head <br /> CAA II._ <br /> Council President TM <br /> Location Preceding Action Attachments Department(s) Approval <br /> Various None Motor Vehicle Division <br /> Amount Budgeted $5,000,000.00 est. <br /> Expenditure Required $5,000,000.00 est. Account Number(s): <br /> Budget Remaining -0- All Departments &Divisions of the City <br /> Additional Required -0- <br /> DETAILED SUMMARY STATEMENT: <br /> The City has been using State contract#07705 for bulk and"keep full" tank service deliveries of gas and <br /> diesel. This contract has expired and was replaced by#00311. <br /> Motor Vehicles requires estimated annual bulk deliveries of$4,500,000 and"keep-full"tank deliveries are <br /> estimated at$500,000 annually. <br /> Pricing for this contract is indexed to the OPIS Daily Average Rack Rate. On May 31, 2011, the contract <br /> price for regular unleaded was $3.07906 per gallon. On the same day the AAA average retail pump price in <br /> Washington was $ $3.937. <br /> We have an existing interlocal agreement with the Office of State Procurement that allows us to make <br /> purchases from their competitively awarded contracts in lieu of soliciting bids of our own. <br /> RECOMMENDATION (Exact action requested of Council): <br /> Approve the purchase of bulk fuel and tank deliveries from Associated Petroleum Products, Inc. under <br /> Washington State Contract 00311 in the estimated amount of$5,000,000 annually including all applicable <br /> taxes. <br /> 5 <br />