Title
Community Development Agency, Administration and Finance Division, recommending the Board authorize the Chair to execute Agreement for Services No. 539-O1311 with EPIC Aviation, LLC of Salem, OR in the amount of $2,260,000 with a term of March 20, 2013 through March 19, 2018, for the supply of aviation fuel and related services for the Placerville and Georgetown Airports, subject to review and approval and minor revisions by Risk Management.
FUNDING: Airport Enterprise Fund.
Body
BUDGET SUMMARY: |
|
Total Estimated Cost
|
$2,260,000.00 |
|
|
Budgeted
|
$109,000.00 |
New Funding
. |
|
Savings
|
|
Other*
|
$2,151,000.00 |
Total Funding Available
|
$2,260,000.00 |
|
|
Change To Net County Cost
|
$ 0.00 |
*To be included in future fiscal year budgets.
Fiscal Impact/Change to Net County Cost
Funding for this Agreement is included in the Placerville and Georgetown Airport Enterprise Funds, and is funded through the sale of the fuel. There is no net cost to the County General Fund associated with this agenda item.
Background
On May 7, 2013, the Board of Supervisors awarded Request for Proposal (RFP) No. 13-405-039 for supply of aviation fuel and related services for the Placerville and Georgetown Airports to EPIC Aviation, LLC ("EPIC"), and authorized the Chair to execute an agreement for the services, subject to review and approval and minor revisions by County Counsel and Risk Management, at the recommendation of the Chief Administrative Office, Procurement and Contracts Division (Item #5, Legislative File 13-0290). The RFP closed on February 8, 2013, with an anticipated award date of March 20, 2013.
The previous agreement #431-S1211 (AGMT 12-53393) for aviation fuel and related services with EPIC expired on March 19, 2013.
Reason for Recommendation
Related services under both the previous agreement and the succeeding agreement include: providing a comprehensive credit card program with a point of sale system to accept credit cards, and provide billing and sales transaction settlement services for processing sales against an account ("designated fuel account") maintained and monitored by the Contractor on behalf of the County. Based on the billing settlement services with EIPC, the County has not made a payment directly to EPIC since 2007.
After expiration of the previous agreement, fuel sales to users at the Placerville and Georgetown Airports continued from inventory on hand from previous deliveries made by EPIC, resulting in the contractor continuing to provide billing and settlement services on behalf of the County. Absent a contract in effect, there is no agreement for billing and settlement of the fuel sales between the expiration date of the previous contract and the effective date of the new contract. An effective date of March 20, 2013 for Agreement #530-O1311 will provide for continual service with no gap between Agreements, and provide for the proper billing and credit card transaction settlement between EPIC and the County for aviation fuel sales and services provided.
Additionally, during the period between the anticipated award date of the RFP and the final approval and execution of Agreement #530-O1311, a delivery was taken of 100LL Avgas at the Placerville Airport due to staff concerns over the availability of fuel to service customers on short notice during the busy summer season. An effective date of March 20, 2013 with no lapse between the two Agreements with EPIC will further accommodate billing and credit card transactions associated with sales of the fuel delivered.
Action(s) to be taken following Board approval
1) The Chair of the Board of Supervisors will sign two (2) originals of Agreement #539-O1311;
2) The Clerk of the Board shall return one (1) fully executed original Agreement to the Community Development Agency, Administration and Finance Division for additional processing.
Contact
Kim Kerr, Acting Director
Community Development Agency
Concurrences
County Counsel