TITLE:
title
AGREEMENT FOR FUEL PROCUREMENT AND DELIVERY SERVICES WITH MERRIMAC PETROLEUM, INC.
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DEPARTMENT: PUBLIC WORKS DEPARTMENT/GENERAL SERVICES DIVISION
PRESENTED BY: RAJA SETHURAMAN, PUBLIC WORKS DIRECTOR
CONTACT INFORMATION: PATRICK BAUER, DEPUTY PUBLIC WORKS DIRECTOR, (714) 754-5029
RECOMMENDATION:
recommendation
Staff recommends the City Council:
1. Approve the proposed Agreement with Merrimac Petroleum, Inc., DBA Merrimac Energy Group, 1240 Wardlow Road, Long Beach, CA 90807, for the purchase and delivery of fuel in an annual amount not to exceed $250,000.
2. Authorize the City Manager and City Clerk to execute the agreement and future authorized amendments to the agreement.
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BACKGROUND:
The City's Public Works Department, Equipment Maintenance Section maintains a total of twelve (12) storage tanks for fuels, lubricants, and hazardous waste. These tanks provide fuel storage and dispensing at Fire Station Nos. 1, 2, 5, and 6, the Police Department, and the City's Corporation Yard. The City also has ten (10) emergency generators located at various sites that require fuel. The City's Warehouse staff maintains, monitors, coordinates fuel deliveries and oversees fueling operations in compliance with Federal, State, and County regulations. The goal is to provide uninterrupted service to the City and minimize delays in daily operations.
ANALYSIS:
The City is proposing to utilize the City of Ventura's General Services Agreement No. PW22-1064 (Attachment 1), which was renewed on July 1, 2024 (Attachment 2) with Merrimac Petroleum, Inc., DBA Merrimac Energy Group for the procurement of fuel delivery. The agreement meets all of the City's purchasing requirements and all requirements set forth by the City of Ventura regarding piggyback purchasing. The agreement was competitively bid by the City of Ventura through a formal bid process (Attachment 3), ensuring the lowest prices were obtained. In FY 2022-2023, approximately 36,000 gallons of fuel we...
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