HomeMy WebLinkAboutFY 08-09 - Vendors - CNG FuelREQUEST:
CITY OF PALM DESERT
PUBLIC WORKS
STAFF REPORT
Approve the Purchase of Compressed Natural Gas (CNG) Fuel
from Specified Vendors in an Amount not to Exceed $30,000.00 for
Fiscal Year 2008-2009
SUBMITTED BY: Mark Greenwood, P.E., Director of Public Works
VENDOR:
Clean Energy
3020 Old Ranch Parkway
Seal Beach, Ca 90740
DATE: June 12, 2008
Recommendation:
SunLine Services Group
32-505 Harry Oliver Trail
Thousand Palms, CA 92276
By Minute Motion, approve the purchase of Compressed Natural Gas fuel for
fiscal year 2008-09, in an amount not to exceed $30,000.00, from Clean Energy
as a primary source and SunLine Services Group as an alternate source.
Discussion:
Clean Energy is our primary CNG fuel supplier for the City's 32 vehicles operating on
CNG fuel. Within the Coachella Valley there are only four commercial CNG refueling
stations that. are operated by Clean Energy. Clean Energy installed and operates the
public CNG fuel station at the Burrtec Waste Management facility in Palm Desert. The
City's franchise agreement with Burrtec provides for a substantial discount on fuel at
that facility; the current rate for CNG fuel purchased at the Burrtec facility is $1.34 per
gallon. The Burrtec CNG fueling station in Palm Desert is the nearest CNG fueling
facility and is vital to our needs.
The Burrtec CNG fueling station is rarely out of service. However, in the infrequent
times when it is non -operational, City staff must have another means of acquiring CNG
fuel. SunLine Services Group in Thousand Palms is another provider for CNG fuel.
Staff have used this CNG fueling facility only in emergency circumstances when the
Burrtec fueling station was out of service. The current rate for purchasing CNG fuel at
SunLine is $2.65 per gallon.
Approve the Purchase of Compressed Natural Gas Fuel
Page 2of2
June 12, 2008
The City has vehicle fueling cards from both Clean Energy and SunLine Group
Services. Both entities invoice monthly with a complete purchasing detail.
Funds are allocated to account no. 110-433-413-2170 for fiscal year 2008-09. Public
Works staff hereby requests that City Council approve the purchase of CNG fuel, in an
amount not to exceed $30,000.00, from Clean Energy as the primary source and
SunLine Services Group as the alternative source.
Fiscal Impact: None.
Prepared
Carlos ez
Maintenan Services Manager
Approval:
Homer Croy
ACM for D
elopment Services
Carlos L. Ortega
City Manager
Departme/t
/ /
Mark Green wood, P.E.,
Director of Public Works
Paul Gibson
Finance Director
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ABSENT
VERIFIED
on 4 -" .., `:.YCity Clerk's 0ffice.