CONSENT - Robert Therres, Public Services Manager
Title
AUTHORIZATION TO ENTER INTO FUEL CONTRACT WITH STATE OF MINNESOTA FUEL CONSORTIUM PURCHASE PROGRAM
Background
Over the last number of years the City has been purchasing fuel for our vehicles through the State of Minnesota’s Fuel Consortium Purchase Program. By joining many other large fuel users throughout the State the City has been able to get very attractive fuel prices for our fleet. The City budgets purchasing 172,000 gallons for fuel per year. For the time period of February 2017 through January 2018 the City will pay $1.865 for gasoline and $1.985 for Diesel fuel.
The City budgeted $338,000 in 2017 for fuel for all of our City vehicles. As the City continues to grow and prices start to get higher we have seen a fuel bill exceed the City Manager’s spending limit of $20,000. Instead of asking for separate Council approval each time a fuel bill exceeds $20,000 staff is seeking approval of the Fuel Consortium contract each time it comes up for renewal.
Recommendation
By motion, Authorize City of Blaine to enter 2017-2018 Fuel Consortium Purchase Program through the State of Minnesota up to the approved budgeted amount of $338,000.