HomeMy WebLinkAboutFY 2010-11 Vendors - Gas & Diesel Fuel CITY OF PALM DESERT
PUBLIC WORKS DEPARTMENT
STAFF REPORT
REQUEST: APPROVE THE PURCHASE OF GAS AND DIESEL FUEL FROM
KENNY STRICKLAND, THE SOCO GROUP, INC., AND LEE
ESCHER OIL CO., INC., FOR FISCAL YEAR 2010-2011 IN AN
AMOUNT NOT TO EXCEED $125,000
SUBMITTED BY: Mark Greenwood, P.E., Director of Public Works
VENDOR: Kenny Strickland
50-021 Hwy 86
Coachella, CA 92236
The SoCo Group Inc.
5962 Priestly Drive
Carlsbad CA 92008
Lee Escher Oil Co. Inc.
85-119 Avenue 50
Coachella, CA 92236
DATE: May 27, 2010
CONTENTS: Letters from Fuel Suppliers (3)
Recommendation
By Minute Motion, approve the purchase of gas and diesel fuel from
Kenny Strickland, The SoCo Group Inc., and Lee Escher Oil Co. Inc., for
Fiscal Year 2010-2011 in an amount not to exceed $125,000.
Funds for the purchase of gas and diesel fuel are budgeted in General Fund Account
No. 110-4331-413-2170, Auto Fleet Supply-Auto Gas.
Backqround
A number of City fleet vehicles and equipment depend on gasoline and diesel fuels to
achieve daily operations. Since fuel prices are unpredictable, standard annual fuel
contracts are not possible. Based on the quantity of fuel purchased throughout the
Staff Report
Purchase of Gas and Diesel Fuel from Specific Vendors
May 27, 2010
Page 2 of 2
year, Public Works maintenance staff negotiated a 15-cent discount from the posted
price (the price the supplier charges the general public) from the three local fuel
suppliers for Fiscal Year 2010-2011.
The three local fuel suppliers, Kenny Strickland, The SoCo Group Inc., and Lee Escher
Oil Co. Inc., have committed to provide the City with a 15-cent discount from the posted
price, without any restrictions, for Fiscal Year 2010-2011. In order to be fair, the City
will request fuel delivery for a four-month time period from each fuel supplier.
Fiscal Analvsis
This is a necessary, on-going expense with no fiscal impact beyond the cost of fueling
City vehicles.
Prepared By: ' Depart n d:
Carlos er an ez Mark Green ood, P.E.,
Maint nanc ervices Manager Director of Public Works
CITY COUNCIL AC�ON
Paul Gibson, Director of Finance APYROVED � DF.NiF.D
RCCEIVED OTHF,R
Ap � I: MECTI G DATE - ��7- �ZD/G
� AYES: � ' �z:,
"/ 1\TOF.S:
��.'�,/�,� ABSF,NT:
AI3STAIN:
J n M. Wohlmuth, City Manager vi;fatFtt�,D T�Y:
Ori�inal on File with Ci�y . erl<'s �ffcc �
Fro�:Kenny Strickland Inc. 7603981�1 04/28/F010 09:36 �1�4 P.002/�2
Petroleum Distributor
***Con6dential Quote***
�
For: The City of Palm Desert
Date: 04/27/2010
PHtLLIPS
� �
To whom it may concem:
Kenny Strickland,Inc.wvuld like to eactend to the City Of Palm Desert a
� „� �. $0.15 per gallon discount off of our daily posted price. This discount is good
for any octane gasoline, Clear and red diesel fuel. Please note that Kenny
Strickland, inc. distabutes a premium diesel fuel wluch is ideal for the
��, cleaning of injectors,reduction of smoke and an increase in efficiency.
Kenny Strickland,Inc woutd also like to extend to the City of Palm Desert a
$.50 per gallott discount on our full line of commercial and industrial
lubricants. This would include but not linnited to diesel engine oils,motor
Nt�,iuc�tacartA oils,hydraulic oils, and transmissian fluids.
s�s x�asBVTTvg
�6a}c�s-ria4
If you have any questions,please do not hesitate to call me at(760)625-
7244, We look forwazd to doing business with you in the future.
COACHEL.Y.A
50-021 fIWY 86
COAC�LLA,CA 92236 Sincerely,
(760)398-2A01
HESPHRIA
17056 HERCIJL.ES ST
HESPERIA,CA 9?3�5 Mark Magana
�60��s-r�n
�s�r
106 S.RAMONA Sf
HEMfi'P,CA 915�
(951)65�5]80
IMPERIAL
501 E.BARIONI BLVD
IMPERiAL,CA 97.2�1
(760)355-0329
www.kennvstrickland.com
To:Qaniel Page 1 ot 1 427f2010 2:11:03 PM PDT 1-760-400-4021 From:Brian iverson
The SOCO � � Inc.
Petroleum Distributors
45242 Commerce Street
Indio,CA 92201
Phone: 764-347-3750
Fax: 76a40a4021
To: City of Palm Desert From: Brian Allen iverson
ATTN: Daniel Plant Manager- Inclio Branch
F�: 760-??3-9025 Pages: 1
Ph : 760-346-0611 Date: 4/26/2010
RE: Fuel Pricing Discount
In follow up to our conversation, The SoCo Group will supply the City of
Palm Desert with fuel deliveries at a 1 S cent discount per gallon off our
posted daily price for the 2010/2011 fiscal year.
Please let us iffiow if you have any questions.
Thank you for your continued business.
Brian Allen iversan
_ _ _ __ _ _ _ _ _
04/26/2010 12:29 17603986528 LEOCO PAGE 01/01
� mCr+7hCr 0�
�.++BQ �'iSC�I,�.'I' �N
�� ",
t�il Cc�., Tx�c. ..:,.�-'�
Subsidiaiy of -f` _._�
BEC�O�L, I�TG.
Apri126,2010
City of�a]m Dcscri
City Cooperate Xard
Velic Way
Palm�laesert, ca.
RE:Fue1 Prices the 10-11 �iscal Year
Lee Escher. Qil Ca.,Inc., will deliver f�et to thc City of�alm Desert,at a discount of$.15
per gallon off our posted daily priee.for ti�e 2010-11 Fiseal Xear. Additional ly,the City
as Exempt.138 per gallon.
,All prices shawn include all applie$ble taxes.
Priccs are bascd oan today's Colton R�ck. Prices may change daily, but the discount wiia
remain t}�e same for th�length v�the contract.
Th ou,
ee er il Co.,Inc.
�Division of Beck Oil lz�c.
$5-119 Leoca L1ne • Coachella,Galiforni�92236
Phone(76�)396-2p51 • ToU Free(800)6.;4-7332 • Fax(760) 398-G528
aww.Leoco.com • ��n�Be¢kollinc.co�n