HomeMy WebLinkAboutPurchase FY 2005/06 Gasoline & Diesel FuelsK
REQUEST:
SUBMITTED BY:
VENDOR:
DATE:
ATTACHMENT:
Recommendation:
CITY OF PALM DESERT
PUBLIC WORKS
STAFF REPORT
Approve the Purchase of Gasoline and Diesel Fuels
Tom Bassler, Maintenance Services Manager
Lee Escher Oil Co., Inc.
P 0 Box 38
85-119 Leoco Lane
Coachella, CA 92236
August 25, 2005
Fuel Price Summary
By minute motion, award the purchase of gasoline and diesel fuels for the
City fleet to Lee Escher Oil Co., Inc., Coachella, for fiscal year 2005-2006.
Discussion:
The City uses approximately 1,500 gallons of compressed natural gas (CNG), 1800
gallons of gasoline and 200 gallons of diesel fuel per month for its fleet vehicles and
equipment. The CNG fuel is purchased through Clean Energy while the gasoline and
diesel fuels are available through three local bulk fuel suppliers: SoCo Group, Kenny
Strickland and Lee Escher Oil.
Since fuel prices are volatile, standard annual fuel contracts are impossible and fuel
purchases are made based on price comparisons between the three local distributors.
The purchase order awards were made quarterly to comply with the City's purchasing
policy; however, due to increasing fuel costs the maximum amount of the purchase
order was being exceeded within two months.
Attached is the fuel purchase and price summary for fuel purchased since April 2004. Of
note are the sporadic responses from the SoCo Group and no responses from both the
SoCo Group and Kenny Strickland in the past six months. These companies are
contacted repeatedly by telephone; fax and e-mail with a continuing no response to
price quote requests.
Award the Purchase of Gasoline and Diesel Fuels to Lee Escher Oil
August 25, 2005
Page 2of 2
Public Works staff recommends that the City Council approve the purchase of gasoline
and diesel fuel for fiscal year 2005-2006 from Lee Escher Oil. During this year, staff will
continue to work with the other two distributors to obtain quotations so a pricing history
will be available for next year.
Submitted By:
om Basher
Maintenance Services Manager
Approval:
ACM for Deviobment Services
.440
City Mana?
Idhl
Department Head:
Michael Errante
Director of Public Works
Finance Director
Palm Desert Fuel Pricing Summary
April 2004 - June 2005
Date SoCo Escher Strickland Gal. - Fuel
04/02/04 2.13 1.97 2.00 970 gasoline
2.05 1.92 1.85 576 diesel
04/26/04 1.94 1.89 2.03 951 gasoline
05/11/04 2.16 2.17 2.14 1076 gasoline
06/08/04 1.81 1.99 2.00 1200 gasoline
1.49 1.54 1.55 591 diesel
06/29/04 ** 2.01 1.98 1100 gasoline
** 1.78 1.76 451 diesel
07/23/04 ** 1.96 1.79 1300 gasoline
08/18/04 ** 1.87 1.79 1500 gasoline
09/08/04 ** 1.90 1.80 1300 gasoline
** 1.82 1.76 406 diesel
10/05/04 2.13 2.07 2.14 1000 gasoline
10/18/04 ** 2.14 2.17 1291 gasoline
11/05/04 ** 1.95 1.95 1130 gasoline
11/23/04 1.88 1.80 1.85 980 gasoline
12/15/04 ** 1.58 1.62 1199 gasoline
** 1.59 1.68 575 diesel
01/07/05 ** 1.72 ** 1006 gasoline
01/27/05 ** 1.94 ** 1143 gasoline
02/24/05 ** 2.27 ** 1200 gasoline
03/10/05 ** 2.16 ** 1200 gasoline
** 2.17 ** 500 diesel
04/05/05 ** 2.58 ** 1500 gasoline
04/25/05 ** 2.44 ** 1322 gasoline
05/20/05 ** 2.07 ** 1200 gasoline
** 1.90 ** 700 diesel
06/08/05 ** 2.18 ** 1300 gasoline
06/27/05 ** 2.40 ** 1200 gasoline
** No response received to inquiry for price quote