HomeMy WebLinkAbout05(G) - Resolution Approving Participation in the 2023-2024 Fixed and Spot Price Fuel Program ReportFuel Consortium Program - Overview
Attachment A
The current Contract with Mansfield Oil is set to expire January 31, 2023. Due to market conditions and the solicitation
process, the procurement team is exploring pricing options for a new program that will begin February 1, 2023. In order
to achieve this, participants must submit their quantities for the Fixed Price Fuel Program no later than November 11,
2022.
Fixed Price Fuel Program – Agencies participating in the Fixed Price Fuel Program are required to take 100% of its
monthly quantity committed and the Contractor is required to provide 100% of the monthly quantities contracted. The
program will be for 12 months, from February 1, 2023 through January 31, 2024.
-If the original purchaser is unable to take all of the monthly committed gallons, the Contractor will be
responsible for contacting other location participating the Fixed Price Fuel Contract to determine if they are able
to take additional gallons.
-If the Contractor is able to ship the unused gallons from the original participating purchaser to another
participating agency, there will be no cost to the original participating agency. If the Spot Price is less than the
Fixed Price, participants are not required to take more than the monthly amount they committed to.
-If the Contractor is unable to ship the unused gallons from the original participating purchaser to another
participating agency, they may sell the unused gallons on the open market and either debit or credit the
difference in price back to the original participating purchaser based on the open market sell price.
-If the Contractor is unable to provide all of the monthly committed gallons to a participating member by the due
date and time, the participating member may purchase the product on the open market and charge the
Contractor for any actual additional costs incurred.
Spot Price Program – In addition to the Fixed Price Program, we will include a Spot Price Program for Participants to
handle extra fuel needs over and above the committed quantities in the Fixed Price Program. Only Participants in the
Fixed Price Program may use the Spot Prices offered by the Contractor.
If the Contractor is unable to provide the order quantity to a State agency or CPV member by the required due date and
time, the State agency or CPV member may purchase the product on the open market and charge the Contractor for any
actual additional costs incurred.
The signature below and/or submission of the Order Form (Attachment B) certify that your Entity agrees to all terms,
conditions, and prices of any Contract agreement entered into on its behalf by the State of Minnesota, which includes,
by is not limited to, taking 100% of the monthly fuel quantities submitted for the Fixed Price Program on the Fuel Order
Form (Attachment B). There is no requirement to take any product(s) using the Spot Price Program.
Agency Name: _____________________________________________________________________________________
Address: _________________________________________________________________________________________
Contact Person: _____________________________________ Title: _________________________________________
Phone No.: ______________________ Fax: _____________________ Email: _________________________________
Authorized Signature: ______________________________________________________________________________
City of Prior Lake, MN
4646 Dakota St SE, Prior Lake, MN 55372
Christine Watson Public Works Coordinator
952-447-9855 N/A cwatson@PriorLakeMN.gov
2020-2021 Fuel Consortium Purchase Program
Page 1 of 2
Return Excel Version of Order Form to jack.moore@state.mn.us *Blank cells will be considered '0' gallons for that specific type and month
Due Date: November 11, 2022 *500 Gallon minimum delivery QTY
* NOTE: 20% biodiesel mandated April through September, otherwise 5% biodiesel.
February (2023)3000 2000
March 3000 2000
April 3000 2000
May 3000 2000
June 3000 2000
July 3000 2000
August 3000 2000
September 3000 2000
October 3000 2000
November 3000 2000
December 3000 2000
January (2024)3000 2000
Totals 36000 0 0 0 12000 12000 0
Fuel Type
Gasoline
E-85
Diesel
10000
Estimated Annual Usage
(In Gallons)
Spot Price Program - For Informational Purposes Only
Gasoline E-85
Date: November 7, 2022
Agency: City of Prior Lake, MN
Name: Christine Watson
Provide an estimate of the number of gallons you might purchase
from the contract using the Spot Price Program. There is no
commitment implied by providing the estimated usage - this is for
informational purposes only. *500 gallon minimum per delivery.
5000
* B20
*B5
WinterB10B15
Premium
Diesel
Fixed Price Program
PLEASE NOTE: Agencies should consider the amount of its annual usage it wants to
commit to this program. It is not recommended that you commit all of your fuel
needs to the Fixed Price Program. The Spot Price Program may be used for
additional fuel requirements.
Participants must have a capacity for taking at least 500 gallons per delivery.
Participation in the Fixed Fuel Program requires the State agency or CPV member
located in the nine (9) county metropolitan area to take 100% of the quantity pledged on
this Fuel Order Form.
Fixed Price Program Commitment Quantities by Gallon (by Month, by Fuel Type)
*Submission of this form certifies that your Entity agrees to all terms, conditions, and
prices of any Contract agreement entered into on its behalf by the State of Minnesota
which includes, but is not limited to, taking 100% of the monthly fuel quantities submitted
for the Fixed Price Program on the Fuel Order Form. There is no requirement to take
any product using the Spot Price Program.