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TO: Mayor John Laesch and City Council
FROM: Tim Weidner, P.E., Engineering Coordinator
DATE: September 24, 2026
SUBJECT:
A Resolution authorizing the execution of a contract with Salt Xchange Inc. in the amount of $693,750.00 and the appropriation and expenditure of MFT funds for an amount up to $1,399,600.00 for 2027 salt purchases.
PURPOSE:
To execute a contract with Salt Xchange Inc. and execute the Illinois Department of Transportation (IDOT) resolution necessary to appropriate Motor Fuel Tax (MFT) funds for the purchase of sodium chloride (rock salt) for 2027 (MFT Section No. 27-00000-00-GM).
BACKGROUND:
The bulk road salt to be used for snow removal is typically purchased through the State's Central Management Services Office and the DuPage County Procurement Services Division; both entities secured multiple bids through a publicly advertised sealed process, establishing competitive unit prices. The City has also gone out to bid on its own at certain times, including in 2024 and earlier this year to fill the salt dome at the new Public Works facility.
For the 2026-2027 winter season, the City intended to purchase salt through the State and DuPage County as usual. While the City will still purchase salt through the DuPage County bid, the State bid received no bids for the City of Aurora's portion. Aurora was one of about 250 agencies that did not receive a bid. The City's only remaining options were to bid a separate contract on its own or try to procure salt through the State's emergency bid process.
Salt prices have drastically increased for this winter season due to ongoing economic conditions and supply constraints. It is anticipated that bidding separately and awarding as a City will be more cost effective than being at the mercy of the State's emergency bid.
DISCUSSION:
The invitation to bid for this project was posted on August 25, 2026. A copy of the posted bid documents is attached as Exhibit 'A'.
Bids were opened and publicly read on September 9, 2026 (Bid No. 26-083). The bid tabulation for the 3 bids received is attached as Exhibit 'B'. The lowest responsible bid was submitted by Salt Xchange Inc. in the amount of $693,750.00. A copy of the submitted bid is attached as Exhibit 'C'. Salt Xchange has not supplied salt to the City before but has worked with a number of other agencies in the region. A copy of the Verification of Good Standing is attached as Exhibit 'D'. We recommend awarding the salt purchase to Salt Xchange Inc. for the unit prices submitted.
The local preference ordinance does not apply due to the funding source (MFT).
Included in the specifications is a commitment that the City will purchase at least 80% of the salt ($555,000.00). The amount of salt to be purchased will be determined later, will depend on a number of factors, and will be communicated with Salt Xchange sometime after contract award.
Salt purchases through the DuPage County contract will be at $74.33/ton (Resolution R26-174). Salt purchases through the City's previous standalone contract will be at $85.20/ton (Resolution R26-123). Salt purchases through this contract would be at $111.00/ton. This contract will be for salt delivered after January 1, 2027, and is anticipated to replenish salt used throughout the winter season.
Similar municipal bids throughout the region have been estimating $111-$150/ton with prices in the $130/ton range being common. It is in staff's opinion that awarding this contract at the $111/ton unit price is responsible, as it is unlikely the City will be able to secure salt at a lower price for the winter season
The 2027 budget is anticipated to include these expenditures within account 203-4060-431.65-32 (Salt) and 203-4060-431.65-33 (Chloride).
Prior to any expenditure of MFT funds, the State must review the proposed expenditure and authorize the use of MFT funds. The actual expenditure is dependent upon the severity of the winter and the number of events that require the use of these chemicals, as well as how much of the future orders are placed in 2026 vs. 2027. All salt from this contract will be ordered in 2027. Exhibit 'E' is the Resolution for Maintenance Under the Illinois Highway Code required by IDOT to be passed by the City Council
IMPACT STATEMENT:
Approval of this resolution will provide the City with the necessary materials to perform proper snow and ice control on city streets over the winter.
RECOMMENDATIONS:
Please forward this resolution to the Finance Committee for their review and recommendation.
cc: Finance Committee
CITY OF AURORA, ILLINOIS
RESOLUTION NO. _________
DATE OF PASSAGE ________________
title
A Resolution authorizing the execution of a contract with Salt Xchange Inc. in the amount of $693,750.00 and the appropriation and expenditure of MFT funds for an amount up to $1,399,600.00 for 2027 salt purchases.
body
WHEREAS, the City of Aurora has a population of more than 25,000 persons and is, therefore, a home rule unit under subsection (a) of Section 6 of Article VII of the Illinois Constitution of 1970; and
WHEREAS, subject to said Section, a home rule unit may exercise any power and perform any function pertaining to its government and affairs for the protection of the public health, safety, morals, and welfare; and
WHEREAS, it is necessary and desirable to purchase bulk rock salt to maintain salt stores through the 2026-2027 winter; and
WHEREAS, no bids were received on the State of Illinois joint contract that the City typically uses to order winter road salt; and
WHEREAS, bids were received and publicly opened and read on September 9, 2026, with bid tabulation attached hereto and incorporated as Exhibit 'B'; and
WHEREAS, Salt Xchange Inc. was the lowest responsible bidder in the amount of six hundred ninety-three thousand seven hundred fifty dollars and zero cents ($693,750.00); and
WHEREAS, this contract is being processed in accordance with the Illinois Department of Transportation, Bureau of Local Roads and Streets Policy and Procedures; and
WHEREAS, said Policy and Procedures require that the Local Agency adopt a resolution appropriating Motor Fuel Tax Funds for general maintenance projects; and
WHEREAS, the 2027 budget is anticipated to be budgeted in account 203-4060-431.65-32 (Salt) and 203-4060-431.65-33 (Chloride); and
WHEREAS, the City of Aurora desires to appropriate Motor Fuel Tax Funds for MFT Section 27-00000-00-GM.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Aurora, Illinois, as follows: that the Mayor is hereby authorized to execute a contract with Salt Xchange Inc. for the unit prices shown within the bid as set forth in Exhibit 'C'.
BE IT RESOLVED, that one million three hundred ninety-nine thousand six hundred dollars ($1,399,600.00) of available MFT Funds, Motor Fuel Tax Section Number 27-00000-00-GM shall be and hereby is appropriated for the purposes set forth in this resolution; and further
BE IT RESOLVED, that the Mayor and the Clerk respectively, shall be and hereby are directed to execute all the aforementioned documents on behalf of the City and any other documents required to carry the purposes of this resolution into execution, including, but not limited to the document entitled “Resolution for Maintenance Under the Illinois Highway Code, Form (BLR 14220)” attached to this Resolution as Exhibit 'E'.