Item Coversheet

Agenda Item - 5.e.


City of Garden Grove


INTER-DEPARTMENT MEMORANDUM

To:Scott C. Stiles

From:William E. Murray
Dept.:City Manager 

Dept.: Public Works 
Subject:

Award of contract to Southern Counties Oil Co. dba SC Fuels to provide fuel and fuel management for City vehicles. ($3,000,000)(Action Item)

Date:6/26/2018

OBJECTIVE

For City Council to award a contract to Southern Counties Oil Co. dba SC Fuels to provide fuel and fuel management for city vehicles for a term of three (3) years at $1,000,000 per year with two (2) option years at $1,000,000 per option year.

BACKGROUND

Public Works Vehicle Maintenance is responsible for providing fuel for city vehicles and equipment for all City departments, which consume approximately 275,000 gallons of fuel per year. The City is currently operating on an emergency purchase order with AAA Oil Inc. dba California Fuels and Lubricants, after a cancellation of a long term contract with ii Fuels Inc. due to fuel delivery issues.

DISCUSSION

RFP No. S-1235 was issued on April 20, 2018. Five (5) proposals were received and opened on May 7, 2018. All proposals received were reviewed and found to be responsive. The scoring process was based on: vendor history and references, ability to meet scope of services, specifications and statement of compliance and proposed costs. The Source Selection Committee (SSC) scores are listed below.

 

Company Name                             

Vendor History &

References       

Scope of Services,

Specs & Compliance

Proposed 

Costs   

SSC

Total Scores

            

 

Southern Counties Oil Co., dba SC Fuels

 940  940  880  2760  
Stan Boyett & Sons, Inc.  660 720 660 2040  

AAA Oil Inc., dba CA 

Fuels and Lubricants

 680 680 560  1920  

Merrimac Petroleum

Company, Inc.

 640 700 520 1860  
Pinnacle Petroleum  560 500 500 1560  
FINANCIAL IMPACT

The financial impact is $3,000,000 to the Fleet Operating Budget. There is no impact to the General Fund.

RECOMMENDATION

It is recommended that the City Council:

 

  • Award a contract to SC Fuels, in the amount of $3,000,000 for the purchase of fuel for city vehicles and equipment; and

 

  • Authorize the City Manager to execute the agreement and make minor modifications as appropriate thereto on behalf of the City.

 

By:  Steve Sudduth,Equipment Maintenance Supervisor




ATTACHMENTS:
DescriptionUpload DateTypeFile Name
Agreement6/12/2018Backup MaterialSouthern_Counties_Oil_Co.__dba_SC_Fuels.pdf