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Chief Administrative Office, Procurement and Contracts Division, recommending award of Bid 07-405-073 to the low qualified bidder, AmeriGas Propane in the amount of $500,000 for a two year period for the purchase of propane; and authorize an increase to same on an "as-needed" basis during the awarded period if funding is available within the requesting department's budget.
RECOMMENDED ACTION: Approve.
FUNDING: General Fund.
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REASON FOR RECOMMENDATION: The Procurement and Contracts Division issued an Invitation to Bid for propane to be purchased for various departments on the West Slope. The bid was based on a set differential rate (price per gallon) over the posted Butane Propane News "BPN" based out of San Francisco. This is a weekly posting that all propane dealers in Northern California utilize as a basis for their weekly rates. The County will pay the bid price (per gallon) over the weekly posting. Example: BPN rate = $1.28/gallon, plus the differential rate $0.20 =1.48/gallon.
Twelve (12) Invitations to Bid were mailed, ten (10) to local vendors; three (3) qualified responses were received, two (2) from local vendors. The bid results are provided on the attached spreadsheet.
FISCAL IMPACT/CHANGE TO NET COUNTY COST: Appropriations for purchases during the awarded period are budgeted under each department's utilities.
ACTION TO BE TAKEN FOLLOWING APPROVAL: Following Board approval, the Procurement and Contracts division will issue a blanket purchase order in the amount of $500,000.00 to Amerigas of Placerville, CA.
Contact: Bonnie H. Rich, Purchasing Agent, X5940
Concurrences: Not Applicable