2020-21 Addendum 1.pdf

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Attached to
Bulk Fuel Supply
Solicitation number
2020-21
Issued by
Racine County, Wisconsin

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This is Addendum 1 to Request for Bid #2020-21 issued by Portage County, Wisconsin through its Purchasing Department for bulk fuel supply to the County Highway Department. The addendum, dated September 15, 2020, clarifies and corrects specifications from the original RFB regarding fuel storage tank capacities and delivery requirements. The County seeks bids for diesel and unleaded gasoline delivery to a single location at 800 Plover Road, Plover, Wisconsin. The corrected storage tank configuration consists of two diesel tanks (one 10,000-gallon and one 20,000-gallon tank totaling 30,000 gallons) and one unleaded gasoline tank (10,000 gallons). Bids were required to be submitted physically to Portage County Purchasing at 1462 Strongs Avenue, Stevens Point, Wisconsin 54481, with provisions made for appointment-based drop-offs due to COVID-19 office closures. The award was anticipated to occur at the Highway Committee Board Meeting in October 2020, with bid tabulations available 24 hours after opening.

The County specified that diesel fuel must meet #2 ultra-low sulfur clear diesel standards with sulfur content not exceeding 15 ppm and a cetane index of at least 40, with no biodiesel accepted. Taxes and freight are to be billed as separate line items on invoices and transport loads, with these charges included in the pricing margin submitted by bidders. The incumbent vendor is Condon Oil Company, Ripon, Wisconsin, which acquired this account from Riiser Fuels in April 2019. Historically, the County has purchased most fuel from the Junction City terminal and maintains a 30-day invoice payment cycle. The County noted that rather than establishing a fixed fuel index, vendors should work collaboratively with the Highway Department on a daily basis to provide the lowest-priced fuel meeting specifications from available marketers and terminals, with the goal of minimizing total delivered fuel costs.

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RFB #2020‐21 BULK FUEL SUPPLY

ADDENDUM 1

September 15, 2020

The following changes are hereby added to and made part of Bid #2020‐21?

Questions, Answers, Clarifications and Revisions:

Q 1. Can you please verify that you have a two‐diesel tank at 30,000 gallons each as well as a 10,000 gallon gasoline tank?

A 1. Error with Storage Tanks under #9. Contract Quantities pages 5 and 6 of RFB. Should be as follows:

2 = Diesel Tanks 1 @ 10,000 gallons, 1@ 20,000 gallons (Total of both tanks is 30,000 Gallons) 1 = Unleaded Tank @ 10,000 gallons

Q 2. Who is the current provider?

A 2. Condon Oil Co., Ripon, WI 54971.

Q 3. What payment type did you use for the vendor?

A 3. Payments were made by checks only.

Q 4. Due to COVID-19 and the office being closed, would emailing the bids be reconsidered with the option of mailing/couriering a physical copy upon award?

A 4. Per #5. Bid Submission:

Faxed and e‐mailed bids are not accepted. Bids must be forwarded to:

Portage County Purchasing 1462 Strongs Ave Stevens Point WI 54481

ITEM OF NOTE: Due to COVID‐19, County Offices are closed at this time. If you intend to physically drop off your bid to the above address, please call or email Chris Schultz during business hours and days (8am‐4pm) for an appointment. Please do so with 24‐hour advanced notice at 715‐346‐1393 or schultzc@co.portage.wi.us

Q 5. When is the award date?

A 5. After Highway Committee Meeting in October…date yet TBD.

Q 6. Will decision be made before or at the board meeting?

A 6. At the board meeting.

RFB #2020‐21 Bulk Fuel Supply

RFB #2020-21 Addendum 1 Page 2 of 3

Q 7. Can we attend the bid opening via phone or video conference call?

A 7. Options are unavailable.

Q 8. How soon after the opening can we request/obtain the bid tabulations?

A 8. 24 hours after opening.

Q 9. Will you accept up to 5% bio diesel in your diesel fuel?

A 9. No Bio Diesel will be accepted, Diesel: Diesel fuel shall be #2 ultra-low sulfur clear diesel fuel with a sulfur percentage, by weight, no greater than 15 ppm with a cetane index of no less than 40.

Q 10. What is your current turnaround on payment of invoices?

A 10. 30 days.

Q 11. We were under the impression your current vendor was Riiser Oil Company awarded in October of 2017.

Was there a bid put out between then and now that was awarded to Condon Oil?

A 11. In April 2019, Riiser Fuels sold its retail dealer, tank wagon and transport divisions to Condon Cos., Ripon, Wis. https://www.cspdailynews.com/mergers-acquisitions/gpm-acquire-63-c-stores-riiser-fuels

Q 12. According to invoices, delivery receipts, and bill of ladings received from our information request, it looks like you received short tank wagon loads from July 2019 to October 2019. Do you plan on ordering tank wagon loads during this upcoming contract term or will this contract be solely transport deliveries as stated in answers to questions from the 2017 gasoline and diesel fuel bid Q&A Process?

A12. We do not plan on ordering short tank wagon loads during this upcoming contract or term. The short tank wagon loads were due to construction and replacement of our fuel system.

Q 13. With such large tanks, why were such small gallons requested?

A 13. An error was made on the original 2020‐21 bid under Storage Tanks #9. Contract Quantities pages 5 and 6 of RFB. Should be as follows:

2 = Diesel Tanks 1 @ 10,000 gallons, 1@ 20,000 gallons (Total of both tanks is 30,000 Gallons) 1 = Unleaded Tank @ 10,000 gallons

Q 14. Are there tanks not listed in this bid that will be expected to be filled at the same submitted bid rate?

A 14. No.

RFB #2020‐21 Bulk Fuel Supply

RFB #2020-21 Addendum 1 Page 3 of 3

Q 15. There is only one delivery address for this bid (800 Plover Road, Plover, WI 54467), correct?

A 15. Correct, one delivery address at 800 Plover Rd, Plover, WI 54467.

Q 16. According to the requested invoices, you are currently getting your taxes billed as a separate line item on all invoices and freight billed as a separate line item on transport loads (based on delivery date costs if I'm reading it correctly as it is not the same every time). If we were to be awarded, would you like to continue being billed in this manner?

A 16. Yes

Q 17. If you do want taxes and freight billed as separate line items on invoices, please confirm you still want to see taxes and freight charges included in the margin on the pricing page when submitting this bid on 9/22/2020.

A 17. Yes

Q 18. Since there is no fuel index for the fuel price how are you determining the low-cost fuel supplier? (If a marketer has a fuel source of Cenex and another marketer has a fuel source of Flint Hills, their daily price is different to each of them. How do you determine who is cheaper/low cost fuel supplier with only looking at the markup and freight and not the base price of the fuel?)

A 18. Most of our fuel for the last 3 years has been bought from the Junction City terminal due to the proximity of terminal and our department. We have eliminated the daily cost/base price of fuel from our bid to allow vendors to use multiple marketers and terminals along with realizing that most of our fuel will be purchased close to our department to keep freight costs down. It has been our expectation that the awarded vendor will work with the highway department on daily basis to provide the lowest price fuel they have access to, that meets our specifications. Thus, keeping our total cost for delivered gasoline as low as possible.

Q 19. If we want to have our bid delivered via FedEx. What is the best way you would advise to do this?

A 19. Federal Express and UPS deliveries are accepted through our delivery entrance.

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