Long Beach, CA
File #: 22-0435    Version: 1 Name: FM - Contract for purchase of petroleum fuels
Type: Contract Status: CCIS
File created: 3/31/2022 In control: City Council
On agenda: 4/19/2022 Final action: 4/19/2022
Title: Recommendation to authorize City Manager, or designee, to execute all documents necessary to amend Contract No. 34597 with Falcon Fuels, of Paramount, CA, and Contract No. 34598 with Merrimac Energy Group, of Long Beach, CA, for the purchase and delivery of petroleum fuels, to increase the aggregate contract amount by $2,300,000, for a revised aggregate contract amount not to exceed $13,600,000, and extend the term of the contract to October 31, 2022. (Citywide)
Sponsors: Financial Management
Attachments: 1. 041922-R-20sr.pdf
Related files: 34597_003
TITLE
Recommendation to authorize City Manager, or designee, to execute all documents necessary to amend Contract No. 34597 with Falcon Fuels, of Paramount, CA, and Contract No. 34598 with Merrimac Energy Group, of Long Beach, CA, for the purchase and delivery of petroleum fuels, to increase the aggregate contract amount by $2,300,000, for a revised aggregate contract amount not to exceed $13,600,000, and extend the term of the contract to October 31, 2022. (Citywide)

DISCUSSION
City Council approval is requested to amend Contract No. 34597 with Falcon Fuels and Contract No. 34598 with Merrimac Energy Group (Merrimac Energy) to continue the furnishing and delivering of petroleum fuels. These amendments will add funds and extend the term of the contracts for an additional six months.

On April 18, 2017, the City Council awarded contracts to Falcon Fuels and Merrimac Energy as part of its adoption of ITB FS17-019 for furnishing and delivering petroleum fuels for three years, with the option to renew for two additional one-year periods.

On December 11, 2018, an amendment was approved by the City Council to add funds for a revised aggregate contract amount not to exceed $11,300,000.

A competitive Invitation to Bid (ITB) for petroleum fuels is currently being solicited. An amendment and additional funds are needed at this time to ensure that petroleum fuels are available for all fleet vehicles and equipment, including emergency response vehicles, while the bid advertisement period and new contract execution processes are completed.

This matter was reviewed by Deputy City Attorney Taylor M. Anderson on March 24, 2022, Purchasing Agent Michelle Wilson on March 25, 2022, and by Revenue Management Officer Geraldine Alejo on March 30, 2022.

SUSTAINABILITY

All fuels are in compliance with California Air Resources Board and local air district quality regulations. In addition, the City of Long Beach (City) will continue to purchase renewable diesel fuel to help reduce...

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