Consent Agenda - Jon Haukaas, Director of Public Works
Title
Authorize Purchase of Road Chemicals for 2022
end
Executive Summary
Annually, the City places an order with the State of Minnesota Purchasing Cooperative for road de-icing chemicals for the following winter. The chemicals are delivered throughout the season as our stockpile gets low and we have storage space to keep it.
Background
Each year, the City orders road de-icing chemicals (sodium chloride) from the State of Minnesota Cooperative Purchasing program. Cargill was the successful bidder for the State contract this year. These chemicals are used to treat Blaine’s streets to minimize the amount of ice and snow on the roadways to make them safe for travel by the public.
The 2022 price for road salt is $72.82 per ton. The chart below provides the proposed amount for this year and the history of pricing over the past five years. Staff is recommending approval to order up to 3,200 tons of road salt at a cost up to $233,024.00.
This is a 20% reduction in volume from past years. The past two winters we have been able to reduce our overall use of de-icing materials through a combination of “Smart Salting” training and improved computerized distribution control on the plow trucks. As a result, Blaine has built a surplus of material that will be carried over into the fall.
The City has the option to increase or decrease purchase volume by up to 20% while maintaining the above price.
Road Chemical Order History
|
Year |
2022 |
2021 |
2020 |
2019 |
2018 |
2017 |
|
Tons |
3200 |
4000 |
4000 |
4000 |
4000 |
4000 |
|
Price |
$ 72.82 |
$ 66.21 |
$ 77.84 |
$ 65.07 |
$ 54.68 |
$ 69.48 |
|
Total |
$ 233,024 |
$ 264,840 |
$ 311,360 |
$ 260,280 |
$ 218,720 |
$ 277,920 |
Strategic Plan Relationship
This action relates directly to the City of Blaine Strategic Plan Item No. 6 - Well Maintained Infrastructure.
Board/Commission Review
N/A
Financial Impact
Sufficient funds have been appropriated in the 2022 Snow Management division of the General Fund budget for this expenditure.
Public Outreach/Input
N/A
Staff Recommendation
By motion, authorize the purchase of road de-Icing chemicals for 2022.
Attachment List
N/A