ITEM: 10.2 CONSENT AGENDA -Mike Ulrich, Public Works Director
Title
APPROVE DEICING CHEMICAL CONTRACT PURCHASE FOR 2011-12 FOR $214,230.00 INCLUDING $13,770.00 STATE SALES TAX
Background
Staff is requesting City Council approval to purchase Deicing Salt for the 2011 - 12 winter seasons. The contracted amount of salt for this season is 3,300 tons, at $71.41 per ton delivered including tax. This purchase is for 90% of our contracted amount, which is 3,000 tons. There is also a provision for a fuel surcharge in this contract that could become a factor throughout the season, depending on future fuel prices. Staff will monitor our supply and this condition. This contract is in effect from June of 2011 until June of 2012.
The budgeted amount for deicing chemicals was increased to reflect the additional $8.77 per ton increase. The amount that has been purchased in the past two years has remained constant. Approval of the 2012 purchases with North American Salt will be contingent upon the Council's approval of the 2012 budgeted amount of $215,000.00 Should additional chemicals be required in 2012, staff will request appropriate funding approval at that time.
Recommendation
By motion, approve Deicing Salt 2011-12 Contract with North American Salt, for 3,000 tons of Salt for $214,230.00, including $13,770.00 in State Sales Tax