Attachment E.pdf

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Attached to
ANDERSON FULL DEPTH PATCHING US-76 State and local contract opportunity
Solicitation number
5400024899
Issued by
Allendale County, South Carolina

About this file

This is a Fuel Adjustment Indexes specification document issued by the South Carolina Department of Transportation (SCDOT) applicable to the Anderson Full Depth Patching US-76 contract. The document establishes the framework for applying fuel price adjustments to eligible work items when diesel and unleaded fuel prices vary more than 10% from base indexes established at contract inception. SCDOT maintains fuel indexes based on prices negotiated by the South Carolina Budget and Control Board - Materials Management Office, averaging Zone 1 (upper state) and Zone 2 (lower state) prices for both fuel types. Indexes are calculated and posted on the 1st and 17th of each month on SCDOT's website. The base index date for each contract is set prior to the highway letting, and adjustment increments are determined by comparing current indexes to the established base index on a monthly basis, with estimate periods varying by district (Districts 2, 3, and 5 use the 1st of the month index; Districts 1, 4, 6, and 7 use the 17th of the month index).

Per unit index adjustments are calculated by multiplying the fuel usage factor (measured in gallons per unit of work) by the fuel index change for each eligible work item. Eligible items include excavation, embankment, various base courses, hot mix asphalt, full depth patching (ranging from 4" to 12"), Portland cement concrete pavements, structural concrete, and reinforced concrete pipe of varying sizes, each with specified diesel and unleaded fuel usage factors. If work continues beyond the contract completion date, fuel indexes on the completion date become the ceiling for adjustments, with only lower indexes applied thereafter. The fuel adjustment provision applies to supplemental agreements, overruns, and extensions, and adjustments are applied only to contract items specifically indicated in the Special Provisions. Current index values, base indexes, and adjustment calculations are available on SCDOT's published index spreadsheet.

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Other files attached to ANDERSON FULL DEPTH PATCHING US-76, newest first.
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Attachment A.pdf PDF
Solicitation.pdf PDF
Attachment F.pdf PDF
Attachment C.pdf PDF
Attachment D.pdf PDF
Attachment B.pdf PDF

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Text version

March 2, 2009

FUEL ADJUSTMENT INDEXES

General: The Bidder is advised that the Department will apply Fuel Adjustments for specified items of work when the Indexes for Diesel and Unleaded fuels vary more than 10% from Base Indexes established for the contract.

Indexes: The Department maintains Indexes for Diesel and Unleaded fuel based on fuel prices from the South Carolina Budget and Control Board – Materials Management Office, which negotiates fuel contracts for the state. The Department averages Zone 1 (upper state) and Zone 2 (lower state) prices for Diesel and Unleaded fuel to calculate the Indexes for the 1st and 17th of each month. The resulting indexes are posted in spreadsheet form on the Department’s Internet site at https://www.scdot.org/business/constructionletting-monthlyindex.aspx.

Base Index: The Department sets a Base Index date for each contract subject to fuel adjustments with the date set prior to the highway letting. The Indexes for Diesel and Unleaded fuel on that Base Index date sets the framework of the 10% adjustment increments to be used for the contract.

Tables showing the adjustment increments are displayed in the above noted spreadsheet (Fuel Charts tab).

Fuel Usage Factors: The following table shows the Fuel Usage factor (gallons of fuel per unit of work) for SCDOT work items that are subject to this specification. In order for contract work items to be eligible for index adjustments, the work item(s) must be specifically indicated in the Special Provisions of the Contract.

Items of Work Eligible for Fuel Adjustments Units of Measure Diesel Fuel

Unleaded Fuel

Excavation (Unclassified, Borrow, etc.) Gallons/CY 0.29 0.15 Embankment in Place Gallons/CY 0.29 0.15 Sand Clay Base Course 6" Uniform Gallons/SY 0.05 0.02 Sand Clay Base Course 8" Uniform Gallons/SY 0.06 0.03 Graded Aggregate Base Course 6" Uniform Gallons/SY 0.10 0.06 Graded Aggregate Base Course 8" Uniform Gallons/SY 0.13 0.06 Hot Mix Asphalt (Base, Binder, Surface Courses) Gallons/Ton 2.90 0.71 Full Depth Patching - 4" (Fuel) Gallons/SY 0.64 0.16 Full Depth Patching - 6" (Fuel) Gallons/SY 0.96 0.23 Full Depth Patching - 8" (Fuel) Gallons/SY 1.28 0.31 Full Depth Patching - 10" (Fuel) Gallons/SY 1.60 0.39 Full Depth Patching - 12" (Fuel) Gallons/SY 1.91 0.47 Portland Cement Concrete Pavements Gallons/SY 0.25 0.20 Structural Concrete Gallons/CY 1.00 0.20 Reinforced Concrete Pipe (24" or less) Gallons/LF 0.50 0.15 Reinforced Concrete Pipe (greater than 24") Gallons/LF 0.75 0.15

Per unit index adjustments are determined by multiplying the Fuel Usage factor by the Fuel Index Change (minimum of incremented range) for each type of fuel. The total of these two results is then applied to the construction estimate as a line item adjustment. If only one type of fuel changes in excess of 10%, then the adjustment will be based on that figure alone.

https://www.scdot.org/business/constructionletting-monthlyindex.aspx

Additional Provisions:

A. The Department will calculate and apply fuel adjustments to estimates based on index values set at the beginning of the estimate period.

o Districts 2, 3, and 5 - Estimate period begins on the 1st of the month and ends on the last day of the month. The 1st of the month Index will be compared to the contract Base Index to determine index adjustments for the estimate period.

o Districts 1, 4, 6, and 7 - Estimate period begins on the 17th of the month and ends on the 16th day of the following month. The 17th of the month Index will be compared to the contract Base Index to determine index adjustments for the estimate period.

B. In the event the work (on a contract item subject to fuel adjustments) continues after expiration of the contract completion date, the fuel indexes in effect on the contract completion date will become the ceiling (or maximum) of indexes to be applied for the work. Lower indexes will be applied, while higher indexes will be limited to the ceiling noted.

C. This provision shall apply to supplemental agreements, overruns and extensions to this project for the specified item(s) to be adjusted.

D. The Base Index, Current Index and Adjustments may be referenced directly on the

Department’s Index spreadsheet at https://www.scdot.org/business/constructionletting-monthlyindex.aspx.

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