City of San Antonio - File #: 16-5509

• File #: 16-5509
• Type: Purchase of Supplies
• In control: City Council A Session
• On agenda: 11/10/2016
• Posting Language: An Ordinance authorizing an Interlocal Agreement with VIA Metropolitan Transit and an Integration Agreement with Longhorn Propane, LP to provide the Building and Equipment Services Department and various City departments with HD-5 Propane Motor Fuel for an estimated annual cost of $60,000.00, funded from the Building and Equipment Services Department Adopted Budget. [Ben Gorzell, Chief Financial Officer; Troy Elliott, Deputy Chief Financial Officer, Finance]

Date	Ver.	Action By	Action	Result
11/10/2016	1	City Council A Session	adopted	Pass

DEPARTMENT: Finance


DEPARTMENT HEAD: Troy Elliott


COUNCIL DISTRICTS IMPACTED: Citywide


SUBJECT:

HD-5 Propane Motor Fuel


SUMMARY:

This ordinance authorizes an Integration Agreement with Longhorn Propane, LP, to provide the Building and Equipment Services Department and other various City departments with HD-5 Propane Motor Fuel for use by approximately 132 propane-powered vehicles and equipment for an estimated annual cost of $60,000.00.


This ordinance also authorizes an Interlocal Agreement with VIA Metropolitan Transit (VIA) by which the City will acquire the right to use the competitively procured contract between VIA and Longhorn Propane, LP.



BACKGROUND INFORMATION:

Submitted for City Council consideration and action is the bid submitted by Longhorn Propane, LP, to provide the BES and other various City departments with HD-5 Propane Motor Fuel via a cooperative contract with VIA Metropolitan Transit (VIA).

The City currently has three 18,000 gallon storage/dispensing facilities located in various sections of the city which are used to refuel approximately 132 propane-powered vehicles and equipment within the City's fleet. This purchase will provide HD-5 Propane Motor Fuel to support fueling needs for propane-powered vehicles and equipment which contribute to the delivery of City services.

The City and VIA previously entered into an Interlocal Agreement for Fuel Purchasing on November 1, 2013 under which VIA provided the City access to their agreement allowing the City to purchase HD-5 propane motor fuel. The City and Pinnacle Propane entered into an Integration Agreement for HD-5 Propane Motor Fuel on November 1, 2013 which expired October 31, 2016.




ISSUE:

After completing a competitive invitation for bid issued on August 4, 2016, VIA entered into an agreement with Longhorn Propane, LP, on November 1, 2016 for the delivery of HD-5 propane motor fuel for an initial term beginning November 1, 2016 and ending October 31, 2019 with a re...