Report Prepared by: Wally Broughton, Public Works Manager - Operations
Title
SUBJECT: Approval of First Amendment for Card-Lock Fuel Station Services to Reflect the Name Change of Tesei Petroleum, Inc. to Van De Pol Enterprises, Inc.
REPORT IN BRIEF
Considers approving a first amendment for card-lock fuel station services to reflect the name change of Tesei Petroleum, Inc., to Van De Pol Enterprises, Inc.
RECOMMENDATION
City Council - Adopt a motion approving the first amendment with Van De Pol Enterprises, Inc., for card-lock fuel station services and authorizing the City Manager or designee to execute the necessary documents.
Body
ALTERNATIVES
1. Approve, as recommended by staff; or,
2. Approve, subject to conditions other than recommended by staff (identify specific findings and/or conditions amended to be addressed in the motion); or,
3. Deny; or,
4. Refer to staff for reconsideration of specific items; or,
5. Continue to a future meeting (date and time to be specified in the motion).
AUTHORITY
Section 200 et seq. of the Merced City Charter.
Services with an estimated value greater than $33,000.00 are made by written contract in accordance with Merced Municipal Code, Title 3 - Revenue and Finance, Chapter 3.04.
CITY COUNCIL PRIORITIES
As provided for in the FY 2020/2021 adopted budget.
DISCUSSION
The City of Merced, has maintained a primary fuel station located at the Public Works Corporation Yard since 1990. There are several smaller fueling locations throughout the City which include the Wastewater Treatment Facility, four Fire Stations, and multiple Water Well sites equipped with fuel tanks for well pump emergency generators. With no unleaded fuel tanks at the Corporation Yard, all of the unleaded fuel for all City vehicles must be purchased off-site from a card-lock fuel station vendor.
The Public Works Fleet Services Division issued a Request for Proposal (RFP) soliciting proposals to provide fuel delivery and/or local Card-Lock fueling services. On October 5, 2020, Council approved an agreement with Tesei Petroleum, Inc., to provide card-lock fuel station services. The original contract term was from December 1, 2020 through June 30, 2022 with the option to extend for three additional one-year periods.
Subsequent to the contract award, Tesei Petroleum, Inc., combined businesses with Van De Pol Enterprises, Inc., effective March 1, 2021. A contract amendment is necessary to reflect the vendor’s name change. The City Attorney’s Office has drafted the amendment (attachment 1) and staff recommends Council approval to continue the card-lock fuel services.
IMPACT ON CITY RESOURCES
No appropriation of funds is needed; funding is available within the FY2020-21 adopted budget.
ATTACHMENTS
1. First Amendment