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TO: Mayor Richard C. Irvin
FROM: Joseph Hopp, Superintendent of Maintenances
DATE: October 1, 2018
SUBJECT:
Requesting the approval of Mansfield Oil Company for the diesel fuel tanker loads and Petroleum Traders for the gasoline tanker loads for the Central Garage Fueling Station.
PURPOSE:
To provide the gasoline and diesel fuel for the City of Aurora's motorized fleet.
BACKGROUND:
The City of Aurora has participated in the Kane County solicitation for gasoline and diesel products for the last 19 years. The Kane County Sheriff's Office, Department of Transportation, Forest Preserve and the City of Aurora participate in this bid. The historical bid results from the past 5 years are attached showing the low bid markup by the respective company. Note that this is the first year for the 80/20 blended diesel fuel that is used only during the cold weather months.
Annually the City of Aurora purchases approximately 385,000 gallons of petroleum products for the Central Garage Fueling Station located at 720 N. Broadway. In 2017, Aurora purchased $708,908.24 for the City's Central Garage Fueling Station.
DISCUSSION:
The bid results are based on the Oil Price Information Service (OPIS) low for Chicago, IL plus vendor markup. This year Kane County received bids from seven different vendors. There was one petroleum company that provided the lowest bid for gasoline and another company for diesel tanker loads.
Mansfield Oil Company, located in Gainesville, Georgia was the low bidder for B-5 and 80/20 blended diesel products. Their bid for B-5 diesel was a $0.0058/gallon markup to the daily OPIS price and for the 80/20 blend was a $0.0094. This equates to a possible $3,031.00 savings to the next closest bid.
Petroleum Traders, located in Fort Wayne, Indiana was the lowest bidder for gasoline. Their bid for gasoline was a $0.0212/gallon markup to the daily OPIS price. This equates to a possible $2,059.00 savings.
The Kane County Contract starts...
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