CTR055743_Contract_Amendment_Summary_Four__4__.pdf
PDF 3 MB Posted
- Attached to
- Master Agreement AZ|CTR055743
- Contract number
- CTR055743
- Issued by
- Arizona
About this file
This document is a Contract Amendment Summary from the Arizona Department of Transportation (ADOT) for Payson Concrete & Materials Inc., specifically addressing an amendment to a contract for aggregate materials, rip rap, and sand. The amendment involves Contract Number CTR055743, which is being renewed for the fiscal year 2025-2026, with Payson Concrete & Materials Inc. as the primary contractor.
The amendment includes an extension of the contract from July 1, 2025, through June 30, 2026, and adds a new plant pick-up location in Tonto Basin, Arizona. The contract involves various aggregate materials with pricing adjustments, including Aggregate Base (Class 1 and 2), Mineral Aggregate, Rip Rap (Types A, B, and C), and various sand types. The price increases range from 3.6% to 7.5% across different line items, justified by the contractor due to inflation impacts on equipment replacement, repair costs, and production expenses. The pricing is based on ADOT and MAG (Maricopa Association of Governments) pricing models, with all line items seeing modest increases, such as Aggregate Base Class 1 rising from $19.68 to $20.40 per ton and Rip Rap Type B increasing from $46.31 to $48.00 per ton.
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ARIZONA DEPARTMENT OF TRANSPORTATION
1655 W. Jackson Street, MD 100P
Phoenix, AZ 85007
Contract Amendment Summary CONTRACTOR: Payson Concrete & Materials Inc. AMENDMENT NO.: Four (4) DESCRIPTION: Aggregate Materials, Rip Rap and Sand
Rev. 03/2025
Pursuant to the Uniform Terms and Conditions, Section 5, Contract Changes, the above referenced contract is amended. Summary of changes is as follows:
1. This contract is hereby mutually extended from July 1, 2025 through June 30,2026 unless terminated, canceled or extended as otherwise provided in the contract.
2. An additional Plant Pick Up location has been added in the Arizona Procurement Portal (APP) as follows:
a. Tonto Basin Plant 487 E. Slate Creek trl.
Tonto Basin AZ, 85553
3. The line items pricing below will take effect on July 1, 2025, per the contract renewal in the Arizona
Procurement Portal (APP):
Line Item Line Item Description
Current Contract
Price
New Contract
Price
CTR055743-1 Aggregate Base: Class 1 (Tonto Basin Plant Pick Up) (ADOT Pricing) $19.68 $20.40
CTR055743-2 Aggregate Base: Class 1 (Payson Plant Pick Up) (MAG Pricing) $17.37 $18.00
CTR055743-3 Aggregate Base: Class 2 (Tonto Basin Plant Pick Up) (ADOT Pricing) $19.68 $20.40
CTR055743-4 Aggregate Base: Class 2 (Payson Plant Pick Up) (MAG Pricing) $17.37 $18.00
CTR055743-6 Mineral Aggregate: Gradation #1 - Fine (Tonto Basin Plant Pick Up) (ADOT Pricing) $23.15 $24.00
CTR055743-7 Mineral Aggregate: Gradation #2- Coarse (Tonto Basin Plant Pick Up) (ADOT Pricing) $23.15 $24.00
CTR055743-8 Rip Rap: Type A (Payson Plant Pick Up) (ADOT Pricing) $37.04 $38.40
CTR055743-9 Rip Rap: Type B (Payson Plant Pick Up) (ADOT Pricing) $46.31 $48.00
CTR055743-10 Rip Rap: Type C (Payson Plant Pick Up) (ADOT Pricing) $37.04 $37.50
CTR055743-11 Washed Concrete Sand: AZ Test 201 (Tonto Basin Plant Pick Up) (ADOT Pricing) $23.74 $24.60
CTR055743-12 Washed Mortar Sand: ASTM C144 (Tonto Basin Plant Pick Up) (ADOT Pricing) $27.78 $28.80
CTR055743-13 Crusher Fines (Payson Plant Pick Up) (ADOT Pricing) $19.68 $20.40
4. All other terms, conditions and provisions of this contract remain unchanged.
PROCUREMENT DETERMINATION
PRICE INCREASE
Cc: File Rev. 03/2025
Sections 1 through 3 MUST be completed Use Attachments as Necessary
1) Name: Megan Walker Title: Senior Procurement Specialist
Date: May 20, 2025
Contract Number: CTR055743 Contract Description: Aggregate Materials, Rip Rap & Sand
Contractor Name: Payson Concrete and Materials Inc.
2) Line Item Pricing:
See attached spreadsheet.
3) Provide justification:
Payson Concrete and Materials Inc. has requested an increase for contract CTR055743 Aggregate Materials, Rip Rap and Sand. The increase request is due to inflation impacting their equipment replacement costs, repair costs and production costs. In the past year material costs have increased 14-17%. Per the maximum increase of the fourth renewal period twenty (20%) is highest allotted increase calculated against the original contract price. An increase of 3.6% brings the total adjustment to the maximum allowed. This is determined fair and reasonable and in the best interest of the State.
To Be Completed by Procurement Authority:
APPROVAL
X Request Authorized Pursuant to A.A.C. R2-7-604A Request Denied Request Returned for Additional Information See Comments
Comments:
Approved by:
Signature:
Title:
Date:
Docusign Envelope ID: DFA46438-344F-4F7F-A15E-72495CED1AE1
Procurement Manager 5/27/2025
N/A
Product Code Name
Current Contract
Price Increase Amount New Rate
CTR055743-1 Aggregate Base: Class 1 (Plant Pick Up) (ADOT Pricing) 19.68$ 0.72$ 20.40$ CTR055743-2 Aggregate Base: Class 1 (Plant Pick Up) (MAG Pricing) 17.37$ 0.63$ 18.00$ CTR055743-3 Aggregate Base: Class 2 (Plant Pick Up) (ADOT Pricing) 19.68$ 0.72$ 20.40$ CTR055743-4 Aggregate Base: Class 2 (Plant Pick Up) (MAG Pricing) 17.37$ 0.63$ 18.00$ CTR055743-6 Mineral Aggregate: Gradation #1 - Fine (Plant Pick Up) (ADOT Pricing) 23.15$ 0.85$ 24.00$ CTR055743-7 Mineral Aggregate: Gradation #2- Coarse (Plant Pick Up) (ADOT Pricing) 23.15$ 0.85$ 24.00$ CTR055743-8 Rip Rap: Type A (Plant Pick Up) (ADOT Pricing) 37.04$ 1.36$ 38.40$ CTR055743-9 Rip Rap: Type B (Plant Pick Up) (ADOT Pricing) 46.31$ 1.69$ 48.00$ CTR055743-10 Rip Rap: Type C (Plant Pick Up) (ADOT Pricing) 37.04$ 0.46$ 37.50$ CTR055743-11 Washed Concrete Sand: AZ Test 201 (Plant Pick Up) (ADOT Pricing) 23.74$ 0.86$ 24.60$ CTR055743-12 Washed Mortar Sand: ASTM C144 (Plant Pick Up) (ADOT Pricing) 27.78$ 1.02$ 28.80$ CTR055743-13 Crusher Fines (Plant Pick Up) (ADOT Pricing) 19.68$ 0.72$ 20.40$
Licensed & Bonded No. A-38733 No. B-04-039733
Payson Concrete & Materials, Inc.
1900 E. Highway 260
Payson, AZ 85541
(928) 474-2231
To: Megan Walker, ADOT procurement
From : Payson Concrete and Materials Inc., Clayton Randall , Nelson D. Beck
Date : 5/2/2025
Subject: Necessary Pricing amendment for Aggregate Materials for ADOT 2025
Thank you for the opportunity to quote aggregate materials for the Upcoming 25/26 fiscal year.
The Pricing we are quoting is a guarantee that we will honor our 2024 list pricing through your 25/26 fiscal cycle.
As we stated in Last year’s process, due to circumstances beyond our control we need to adjust our pricing for
ADOT to keep pace with our retail pricing in order to maintain the high level of service we strive for. As justification
I have included a copy of our published pricing sheet which has been in affect since April of 2024. This is the current market pricing for these materials in this area. Not knowing what the economy holds in front of us, we are doing our best to hold these prices for all our customers in 2025, However, for non-contracted customers that may not last.
*All pricing below is FOB Payson Concrete Yard, 1900 E. Hwy 260, Payson AZ.
ADOT Aggregate matls., Rip Rap and Sand Contract amendment pricing 2025
Product code Product name Old Pricing New Pricing UOM CTR055743-1 Aggregate Base class 1 ADOT $19.68 $22.50 Ton CTR055743-2 Aggregate Base class 1 MAG $17.37 $20.50 Ton CTR055743-3 Aggregate Base Class 2 ADOT $19.68 $22.50 Ton CTR055743-4 Aggregate Base Class 2 MAG $17.37 $20.50 Ton CTR055743-5 N/A Ton CTR055743-6 Mineral Aggregate Gradation #1 $23.15 $29.50 Ton CTR055743-7 Mineral Aggregate Gradation #2 $23.15 $29.50 Ton CTR055743-8 Rip Rap: type A $37.04 $37.50 Ton CTR055743-9 Rip Rap: type B $46.31 $50.00 Ton CTR055743-10 Rip Rap: type A $37.04 $37.50 Ton CTR055743-11 Washed Concrete sand $23.74 $26.00 Ton CTR055743-12 Washed Morter Sand $27.78 $30.00 Ton CTR055743-13 Crusher Fines $19.68 $27.50 Ton
We look forward to continuing our relationship with ADOT for the 25/26 fiscal year.
Thank you, and Have a Blessed weekend.
Clayton Randall - General Manager, Nelson D. Beck - Sales and Safety
Megan Walker <mwalker2@azdot.gov>
CTR055743 Aggregate Materials - Contract Amendment Renewal
Nelson Beck <Nelson.Beck@paysonconcrete.com> Thu, May 15, 2025 at 6:53 AM To: Megan Walker <mwalker2@azdot.gov> Cc: clayton randall <pcmhotplant@gmail.com>
Hello Megan, As always, We certainly appreciate the opportunity to provide sand rock products to the Arizona Dept. of Transportation.
As is the way of the economy , Market volatility and Inflation continue to plague us significantly, Particularly, in the area of transportation of our products. Our cost per loaded mile is heavily impacted by fuel costs, truck replacement and repair costs and in order to maintain reliable help, our wages have had to increase significantly as well.
As you can see from the following web-links, The markets that effect our ability to produce and move our rock products have been extremely unstable since 2021 when we first bid this contract https://www.bls.gov/data/inflation_calculator.htm - Inflation 24% https://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=pet&s=emd_epd2d_pte_nus_dpg&f=m - Fuel 20-30% https://fred.stlouisfed.org/series/PCU484121484121 - Freight 10-15% https://fred.stlouisfed.org/series/WPS1321 - Rock prices 16 - 25% https://fred.stlouisfed.org/series/WPUSI012011 - Construction Materials 16 - 25%
Please understand, although Delivery is not included in our bid, all of our materials are moved, blended, and processed by moving raw materials to our processing sites with trucks and powered by Diesel generators, etc.
When surveying our options in the local market, These examples are real world, up to date facts as to what our costs are to supply you with rock products in the 2024 economy and we are significantly skeptical that this will improve within the timeframe of this contract period. In fact, the Market volatility seems to be very high in comparison to previous years.
For your convenience ,in the previous correspondence, I included a copy of our 2024 published price sheets that apply to the products and services that are included in this contract as justification for our requests.
This is documentation as well of the true market value of these products and we are offering to hold Last year's pricing through the next budget cycle which concludes in 2026 (a 2 yr. timeframe). This alone is an assurance of pricing we do not guarantee to our non-contract customers.
Therefore, Next budget cycle, we once again, request a new bid process be completed for these products and services. We feel that we are very solid in our pricing in the 2025 market, especially within the Payson Area, and are happy to be included in the competitive process, However we cannot continue the contract as is, or without the most recent pricing adjustments we have offered.
5/16/25, 10:17 AM State of Arizona Mail - CTR055743 Aggregate Materials - Contract Amendment Renewal https://mail.google.com/mail/u/0/?ik=e95959737d&view=pt&search=all&permmsgid=msg-f:1832194902821848167&simpl=msg-f:1832194902821848167 1/2
Thank you again for your continued business and the opportunity to extend this contract.
Have a Blessed day, Nelson D. Beck , Clayton Randall, Payson Concrete and Materials inc.
From: Megan Walker <mwalker2@azdot.gov> Sent: Tuesday, May 13, 2025 3:31 PM [Quoted text hidden]
[Quoted text hidden]
5/16/25, 10:17 AM State of Arizona Mail - CTR055743 Aggregate Materials - Contract Amendment Renewal https://mail.google.com/mail/u/0/?ik=e95959737d&view=pt&search=all&permmsgid=msg-f:1832194902821848167&simpl=msg-f:1832194902821848167 2/2
PAYSON CONCRETE AND MATERIALS
Prices effective April 1,2024
AGGREGATE PRICES
x X x x
$30.00 $26.00 $26.00 $27.50 $22.50 $20.50 $30.00 $33.50 $28.50 $20.50 $22.50 per ton per ton per ton per ton per ton per ton per ton per ton per ton per ton
FOB PAYSON
Black AB lect AB ton
Mortar Sand Concrete Rock 1" minus Concrete Sand Chips 3/B" minus
Regular Granite 1" minus 112" Fine Granite lect Concrete Rock 314" & 1 bion Rock 4" to 9"
3/8" Fine Granite 114" Fine Granite Coarse Granite 314" to 1"
Topsoil Barrow 2" Barrow 6" Select Rip Rap Granite Rip Rap Boulders
$22.50 per ton $27.50 per ton
$22.50 per ton $37.00 per ton $19.00 per ton $17.50 per ton $46.00 per ton $37.50 per ton $62.50 per ton
FOB PINE \
AB
Select AB Chips Concrete Rock Select Concrete Rock Gabion Rock
$29.50 per ton $27.50 per ton $35.00 per ton
$33.50 per ton $31.00 per ton $36.50 per ton
Concrete Sand Mortar Sand Select 3" Minus Granite Screened Granite Top Soil
$33.50 per ton $37.50 per ton $25.00 per ton $27.50 per ton $30.50 per ton $38.50 per ton
Mortar Sand Golf Course
I
Rock Soiop bioGa $20.00 per ton $20.00 per ton
B. per ton
50 ton$28.
W
12" culvert culvert
B" culvert " culvert
30" culvert 36" cU
Callfor price Callfor price
W
Band Band - price
&20 for
PRICES SUBJECT TO CHANGE WITHOUT PRIOR NOTICE
.'1.,..:i,qg iir,'..,'ll,iil
BLS Data Viewer
Net Monthly Changes:
1-Month Net Change 3-Month Net Change
6-Month Net Change 12-Month Net Change
Percent Monthly Changes:
1-Month % Change 3-Month % Change
6-Month % Change 12-Month % Change
Latest Observation:
April 2025
201.529 Jan 2023 - Apr 2025 Minimum Value: January 2023 167.828
Maximum Value: April 2025 201.529
Data Availability:
2012 - 2025
Time Period: Start Year: 2023 End Year: 2025
Data extracted on: May 16, 2025 (1:26:49 PM)
PPI Industry Data
Series Title :
PPI industry data for Construction sand and gravel mining-Construction sand and gravel, West, not seasonally adjusted
Series ID : PCU21232121232104
Seasonality : Not Seasonally Adjusted
Survey Name : PPI Industry Data
Measure Data Type : Construction sand and gravel, West
Industry : Construction sand and gravel mining
Item : Construction sand and gravel, West
U.S. BUREAU OF LABOR STATISTICS
Permalink
Update
Co ns tr uc tio n sa nd a nd g ra ve l, W es t
PPI industry data for Construction sand and gravel mining-Construction sand and gravel, West, not seasonally adjusted
PCU21232121232104
Jan '23 Apr '23 Jul '23 Oct '23 Jan '24 Apr '24 Jul '24 Oct '24 Jan '25 Apr '25
Click and drag in the plot area to zoom in. Hover over chart to view data.
Source: U.S. Bureau of Labor Statistics.
.CSV.XLSX
2024 M06
Jun 190.117
2024 M07 2024 Jul 194.062
2024 M08
Aug 194.391
2024 M09
Sep 194.391
2024 M10 2024 Oct 193.986
2024 M11 Nov
194.276
2024 M12
Dec 194.089
Year Period Label Value
5/16/25, 10:53 AM BLS Data Viewer https://data.bls.gov/dataViewer/view/timeseries/PCU21232121232104 1/2
BLS Data Viewer
Net Monthly Changes:
1-Month Net Change 3-Month Net Change
6-Month Net Change 12-Month Net Change
Percent Monthly Changes:
1-Month % Change 3-Month % Change
6-Month % Change 12-Month % Change
Latest Observation:
April 2025
274.721 Jan 2023 - Apr 2025 Minimum Value: January 2023 238.306
Maximum Value: April 2025 274.721
Data Availability:
2003 - 2025
Time Period: Start Year: 2023 End Year: 2025
Data extracted on: May 16, 2025 (1:57:13 PM)
PPI Industry Data
Series Title : PPI industry data for Sand/gravel/clay/refractory minerals mining, not seasonally adjusted
Series ID : PCU21232-21232-
Seasonality : Not Seasonally Adjusted
Survey Name : PPI Industry Data
Measure Data Type : Sand/gravel/clay/refractory minerals mining
Industry : Sand/gravel/clay/refractory minerals mining
Item : Sand/gravel/clay/refractory minerals mining
Footnotes
U.S. BUREAU OF LABOR STATISTICS
Permalink
Update
Sa nd
/g ra ve l/ cl ay
/r ef ra ct or y m in er al s m in in g
PPI industry data for Sand/gravel/clay/refractory minerals mining, not seasonally adjusted
PCU21232-21232-
Jan '23 Apr '23 Jul '23 Oct '23 Jan '24 Apr '24 Jul '24 Oct '24 Jan '25 Apr '25
Click and drag in the plot area to zoom in. Hover over chart to view data.
Source: U.S. Bureau of Labor Statistics.
.CSV.XLSX
2023 M01
Jan 238.306
2023 M02
Feb 240.839
2023 M03
Mar 239.374
2023 M04 2023 Apr 242.302
2023 M05 May
244.623
2023 M06
Jun 243.864
2023 M07 2023 Jul 244 201
Year Period Label Value
5/16/25, 12:45 PM BLS Data Viewer https://data.bls.gov/dataViewer/view/timeseries/PCU21232-21232- 1/2
Producer Price Index by Commodity: Special Indexes:
Construction Materials (WPUSI012011)
Observations
Apr 2025: 337.023
Updated:
May 15, 2025
7:49 AM CDT
Next Release Date:
Jun 12, 2025
Units:
Index 1982=100, Not Seasonally Adjusted
Frequency:
Monthly
1Y 5Y 10Y Max
Edit Graph
Source: U.S. Bureau of Labor Statistics via FRED®
322.5
325.0
327.5
330.0
332.5
335.0
337.5
340.0
Mar 2023 May 2023 Jul 2023 Sep 2023 Nov 2023 Jan 2024 Mar 2024 May 2024 Jul 2024 Sep 2024 Nov 2024 Jan 2025 Mar 2025
Producer Price Index by Commodity: Special Indexes: Construction Materials
In d ex
2=
Shaded areas indicate U.S. recessions.
fred.stlouisfed.org
Share Graph Account Tools
Notes
Related Data and Content
Source: U.S. Bureau of Labor Statistics Release: Producer Price Index
Units: Index 1982=100, Not Seasonally Adjusted
Frequency: Monthly
Suggested Citation:
U.S. Bureau of Labor Statistics, Producer Price Index by Commodity: Special Indexes:
Construction Materials [WPUSI012011], retrieved from FRED, Federal Reserve Bank of St.
Louis; https://fred.stlouisfed.org/series/WPUSI012011, May 16, 2025.
Data Suggestions Based On Your Search
Fullscreen
5/16/25, 12:43 PM Producer Price Index by Commodity: Special Indexes: Construction Materials (WPUSI012011) | FRED | St. Louis Fed https://fred.stlouisfed.org/series/WPUSI012011# 1/3
Producer Price Index by Commodity: Nonmetallic Mineral Products: Construction Sand, Gravel, and Crushed Stone (WPS1321)
Observations
Apr 2025: 520.905
Updated:
May 15, 2025
7:56 AM CDT
Next Release Date:
Jun 12, 2025
Units:
Index 1982=100, Seasonally Adjusted
Frequency:
Monthly
1Y 5Y 10Y Max
Edit Graph
Source: U.S. Bureau of Labor Statistics via FRED®
Mar 2023 May 2023 Jul 2023 Sep 2023 Nov 2023 Jan 2024 Mar 2024 May 2024 Jul 2024 Sep 2024 Nov 2024 Jan 2025 Mar 2025
Producer Price Index by Commodity: Nonmetallic Mineral Products: Construction Sand, Gravel, and Crushed Stone
In d ex
2=
Shaded areas indicate U.S. recessions.
fred.stlouisfed.org
Share Graph Account Tools
Notes
Related Data and Content
Source: U.S. Bureau of Labor Statistics Release: Producer Price Index
Units: Index 1982=100, Seasonally Adjusted
Frequency: Monthly
Suggested Citation:
U.S. Bureau of Labor Statistics, Producer Price Index by Commodity: Nonmetallic Mineral
Products: Construction Sand, Gravel, and Crushed Stone [WPS1321], retrieved from FRED, Federal Reserve Bank of St. Louis; https://fred.stlouisfed.org/series/WPS1321, May 16, 2025.
Data Suggestions Based On Your Search
Fullscreen
5/16/25, 12:43 PM Producer Price Index by Commodity: Nonmetallic Mineral Products: Construction Sand, Gravel, and Crushed Stone (WPS1321) | FRED | St. Louis Fed https://fred.stlouisfed.org/series/WPS1321# 1/3
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