CTR057905_Contract_Amendment_Summary_One__1_.pdf

ARIZONA DEPARTMENT OF TRANSPORTATION

1739 W. Jackson Street, MD 100P

Phoenix, AZ 85007 602.712.7211

Contract Amendment Summary CONTRACTOR: CKC Construction & Materials Inc AMENDMENT NO.: One (1)

DESCRIPTION: Cold Mix Products and Delivery Services

Rev. 04/2020

Procurement

Pursuant to the Uniform Terms and Conditions, Section 5, Contract Changes, the above referenced contract is amended. Summary of changes is as follows:

1. Special Terms and Conditions

The following is hereby added to the Special Terms and Conditions and will take effect upon the upcoming renewal and at that time the line items in the Arizona Procurement Portal (APP) will be revised.

Section 27 Bituminous Price Adjustment

The term “Bituminous Material” as used herein shall include asphalt cement, liquid asphalt, and emulsified asphalt.

Liquid asphalt prices shall be adjusted monthly, in accordance with the “Price Adjustment for Bituminous Material” index published by Contracts and Specifications Services Section published by the Asphalt Weekly Monitor, a publication of Poten & Partners, Inc. Price changes shall only be effective after a change order in Procurement Portal (APP) has been applied. All price changes will be effective the 1st of the month.

The tons of bituminous material incorporated in Cold Mix) to which an adjustment will be applicable will be considered to equal (6.3%) percent of the quantity, measured in tons, of Asphaltic Concrete (Cold Mix), regardless of the actual percentage of bituminous material incorporated into the mix.

Determination of the eligible quantities of bituminous material will be based on the calculations as listed below for MC800, SC800, MC250 Cold Mix .Eligible Adjustment “Base Price” +/- “Adjustment for Bituminous Material” index published by Contracts and Specifications Services Section, published by the Asphalt Weekly Monitor, a publication of Poten & Partners, Inc.” = Difference X 6.3% = Eligible Price Adjustment.

2. The contract is hereby mutually extended from December 1, 2022 to November 30, 2023, unless terminated, canceled, or extended as otherwise provided in the contract.

3. Line Items

The following line items are hereby changed. The price increase documentation will take effect upon the upcoming renewal and at that time the line items in the Arizona Procurement Portal (APP) will be revised.

Line 7: Product – MC 250, Gradation A, Specification 5 - $123.20 Line 8: Product – MC 250, Each additional 1/10% binder - $1.40 Line 9: Short Load Fee (Fixed Rate for Loads less than 21T) - $280.00 Line 10: Delivery Cost per Loaded Mile –Jobs/Maintenance Units 0-50 Miles - $12.32

DocuSign Envelope ID: 19D2276A-90D1-4414-9178-1A7E526D396D

ARIZONA DEPARTMENT OF TRANSPORTATION

1739 W. Jackson Street, MD 100P

Phoenix, AZ 85007 602.712.7211

Contract Amendment Summary CONTRACTOR: CKC Construction & Materials Inc AMENDMENT NO.: One (1)

DESCRIPTION: Cold Mix Products and Delivery Services

Rev. 04/2020

Procurement

Line 11: Delivery Cost per Loaded Mile –Jobs/Maintenance Units 51-100 Miles - $8.96 Line 12: Delivery Cost per Loaded Mile – Jobs/Maintenance Units 101-150 Miles - $8.40

4. In accordance with Arizona Revised Statutes Section § 35-394, the Forced Labor of Ethnic Uyghurs Ban certification (attached) is hereby added to the contract

5. All other terms, conditions and provisions of this contract remain unchanged.

PROCUREMENT DETERMINATION

PRICE INCREASE

Cc: File Rev. 04/2020

Sections 1 through 3 MUST be completed Use Attachments as Necessary

1) Name: Stacy Wiesner

Title: Senior Procurement Officer

Date: October 25, 2022

Contract Number: CTR057905

Contract Description: Cold Mix Products & Delivery Services

Contractor Name: CKC Construction and Materials LLC

2) Line Item Pricing:

See below.

Line Item No.

Line Item Description Current Rate ($)

Increase Amount ($)

New Rate ($)

7 Product – MC 250, Gradation A, Specification 5

110.00 13.20 123.20

8 Product – MC 250, Each additional 1/10% binder

1.25 .15 1.40

9 Short Load Fee (Fixed Rate for Loads Less Than 21T)

$250.00 $30.00 $280.00

10 Delivery Cost per Loaded Mile – Jobs/Maintenance Units 0-50 Miles

$11.00 $1.32 $12.32

11 Delivery Cost per Loaded Mile – Jobs/Maintenance Units 51-100 Miles

$8.00 $.96 $8.96

12 Delivery Cost per Loaded Mile – Jobs/Maintenance Units 101-150 Miles

$7.50 $.90 $8.40

3) Provide justification:

CKC Construction has received notification from their suppliers, Fuels LLC Quality Emulsions, Unified Screening & Crushing, Crusher Rental & Sales, Pro Petroleum, and Otto Trucking as well as additional price increases that include fuel costs. The increase is due to inflation for raw materials, supply chain issues and labor costs. The submittal was received and determined to be in the best interest of the State to negotiate the pricing for all the line items. CKC Construction requested a 12% increase on all line items. After negotiations, It was determined that adding the cold mix product(s) to the Bituminous Price Index and approving the 12% increase is in the best interest of the state and determined fair and reasonable.

To Be Completed by Procurement Authority:

APPROVAL

Request Authorized Pursuant to A.A.C. R2-7-604A

Request Denied

Request Returned for Additional Information

See Comments

X

PROCUREMENT DETERMINATION

PRICE INCREASE

Cc: File Rev. 04/2020

Comments:

Approved by:

Signature:

Title:

Date:

10/25/2022Procurement Manager

September 30, 2022

Stacy Wiesner Senior Procurement Specialist Arizona Department of Transportation 1655 W. Jackson Street Phoenix, AZ 85007

Re: CTR057905 Cold Mix Contract Renewal Price Increase Request

Ms. Wiesner, In accordance with the Special Terms and Conditions of this contract, Construction & Materials (CKC) is submitting this documentation for a price increase on this contract no less than 60 days prior to the contract renewal date.

Since this contract was bid back on October 28, 2021 and went into effect on December 1, 2021, CKC has had significant price increases in several areas relating to the production and delivery of cold mix, besides just in the cost of the cold mix oil itself. Below is a summary of some of these increases:

Item Price when Bid Current

Pricing Increase Unit

Increase

Burner Fuel for Hotplant to Heat Aggregate 1.25 1.71 0.46 Per Gallon 36.8%

Blow Bars for Crusher to Make Aggregate 2,502.00 3,996.62 1,494.62 Per Blow Bar 59.7%

Truck Rental for Cold Mix Delivery 125.00 150.00 10.00 Hour 20.0%

Freight to Deliver Cold Mix Oil 46.00 54.00 8.00 Per Ton 17.4%

Red Diesel Fuel for Equipment 3.37 4.20 0.83 Per Gallon 24.6%

Clear Diesel Fuel for Delivery of Cold Mix 3.61 4.38 0.77 Per Gallon 21.3%

Enclosed is documentation detailing these price increases. Due to these price increases that were clearly unpredictable at the time of the offer and directly affect the price of the cold mix being produced and delivered, CKC is requesting a 12% price increase to the base price of all the items bid effective 12/1/2022. Enclosed you will find the requested pricing for the renewal. This increase would be in

Construction & Materials LLC

CONTRACTOR'S LICENSE NO. ROC 251415 CLASS A

1234 E. AIRPORT ROAD, SAFFORD, AZ 85546

PHONE (928) 428-3423 FAX (928) 428-3429

addition to Contract Amendment No. One (1) which adds the ADOT Bituminous Adjustment based off of the Base Price of oil being $502 per ton as of December 1, 2021.

While this increase is higher than what was stated on the maximum price increase for the first year, it is still less than the total increased costs that CKC has incurred. The increases in these items shown have risen higher than could be predicted and directly affect the price of the cold mix being produced and delivered. Due to rapid inflation this past year, other items not shown that have direct impacts on costs, such as equipment, labor, and other replacement parts have also seen significant and similar increases.

Should the department decide to rebid this contract to other districts, CKC reserves the right to adjust its pricing contained in this contract renewal request at that time. Thank you for your consideration in this matter.

I will await the Department’s decision before signing any contract renewals or amendments for this contract.

Sincerely, Justin Cluff Managing Member CKC Construction & Materials, LLC

Code Field type Label QTY Unit

Unit Price

When Bid

12%

Increase

Requested

Pricing for

12/1/22

1 Required Item Product - MC 800, Gradation A, Specification 1 3800 TON 0

2 Required Item Product - MC 800, Each additional 1/10% binder 175 TON 0

3 Required Item Product - SC 800, Gradation A, Specification 2 10000 TON 0

4 Required Item Product - SC 800, Each additional 1/10% binder 175 TON 0

5 Required Item Product - MC 250, Gradation B, Specification 3 13.1 TON 0

6 Required Item Product - MC 250, Gradation C, Specification 4 1200 TON 0

7 Required Item Product - MC 250, Gradation A, Specification 5 1200 TON 110.00 13.20 123.20

8 Required Item Product - MC 250, Each additional 1/10% binder 175 TON 1.25 0.15 1.40

9 Required Item Short Load Fee (Fixed Rate for Loads Less Than 21T) 1 LOAD 250.00 30.00 280.00

10 Required Item Delivery Cost per Loaded Mile - Jobs/Maintenance Units 0-50 Miles 1 MILE 11.00 1.32 12.32

11 Required Item Delivery Cost per Loaded Mile - Jobs/Maintenance Units 51-100 Miles 1 MILE 8.00 0.96 8.96

12 Required Item Delivery Cost per Loaded Mile - Jobs/Maintenance Units 101-150 Miles 1 MILE 7.50 0.90 8.40

13 Required Item Delivery Cost per Loaded Mile - Jobs/Maintenance Units 151-200 Miles 1 MILE 0

14 Required Item Delivery Cost per Loaded Mile - Jobs/Maintenance Units 201-250 Miles 1 MILE 0

15 Required Item Delivery Cost per Loaded Mile - Jobs/Maintenance Units 251-300 Miles 1 MILE 0

16 Required Item Delivery Cost per Loaded Mile - Jobs/Maintenance Units 301-350 Miles 1 MILE 0

17 Required Item Delivery Cost per Loaded Mile - Jobs/Maintenance Units +350 Miles 1 MILE 0

Notes:

Requested Pricing Increase for Contract Renewal CTR057905

Pricing shown would be in addition to Contract Amendment No One (1) which contains a bituminous adjustment based off of the Base Price of oil being $502/ton as of

12/1/21

PLEASE SEND PAYMENTS TO: Fuels LLC, PO Box 150990, Ogden, UT 84415

Fuels, LLC

308 S Lebaron Mesa, AZ 85210 US +1 4806194100 accounting@qfwaz.com http://fuelsllc.com

INVOICE

BILL TO

CKC

1234 East Airport Rd Safford, AZ 85546

SHIP TO

CKC

1234 East Airport Rd Safford, AZ 85546

INVOICE # 15770

DATE 09/08/2022

DUE DATE 10/08/2022

TERMS Net 30

SHIP DATE SHIP VIA ROUTE BILL OF LADING

09/08/2022 Fuels, LLC PHX Arturo Villanueva 42/117 7056

ACTIVITY QTY RATE AMOUNT

Burner Oil Burner Oil Delivered

7,187 1.71 12,289.77

We appreciate your business~ Thank you! BALANCE DUE $12,289.77

Subject: Re: [EXTERNAL] Re: ADOT Cutbacks Bid From: Keith Ryan <keith.ryan@qualityemulsions.com> Date: 10/25/2021, 11:47 AM To: Justin Cluff <justin@ckcconstruction.com>

JusƟn,, for the ADOT Procurement Bid on the Asphalt Cutbacks we are quoting the following:

1. For all the Cutbacks, MC-250, MC-800, SC-250, SC-800 price is $810.00 per ton, fob Mesa.

2. Freight Rate, is $46.00 per ton, with a 24 tons minimum per load, delivered to CKC Safford Hot Plant. Demurrage, should it occur, is $105.00 per hour, after 1-1/2 hours of standby. For returned material, the freight is half of the outbound (delivered) price.

PRICE IS BASED ON AN ADOT BITUMINOUS MATERIAL ADJUSTMENT BEING PART ON THE PROJECT.

IF, THERE ENDS UP NOT HAVING AN ADOT IDEX, THEN OUR STATED PRICE IS FIRM THROUGH APRIL OF 2022, AND AN INCREASE ON PRODUCT OF $65.00 from MAY 1, 2022 THROUGH NOVEMBER 30, 2022.

Prices do not include sales tax.

Terms: Net 30

JusƟn, should I have overlooked anything, let me know.

Sent from my iPad Pro: Keith Ryan 602‐418‐2685

Re: [EXTERNAL] Re: ADOT Cutbacks Bid

Subject: CKC - ADOT Procurement Bid - Cutback Asphalts From: Keith Ryan <keith.ryan@qualityemulsions.com> Date: 9/29/2022, 12:18 PM To: Justin Cluff <justin@ckcconstruction.com> CC: Amy Anderson <Amy@qualityemulsions.com>

JusƟn, here is our MC‐250, price for MC‐250, currently for all CutBack purchases effecƟve October 1, 2022, and for the ADOT renewal effecƟve December 1, 2022.

PRODUCT:

1. For all the Cutbacks, MC-250, MC-800, SC-250, SC-800 price is $1,046.00 per ton, fob Mesa.

FREIGHT:

Freight Rate, is $54.00 per ton, with a 24 ton minimum per load, delivered to CKC Safford Hot Plant. Demurrage, should it occur, is $115.00 per hour, after one and a half hours of standby. For returned material, the freight is half of the outbound (delivered) price.

Prices are for resale, and do not include sales taxes.

Terms: Net 30

Sent from my iPad Pro: Keith Ryan 602‐418‐2685

CKC - ADOT Procurement Bid - Cutback Asphalts mailbox:///C:/Users/Justin20/AppData/Roaming/Thunderbird/Pro...

1 of 1 9/30/2022, 11:36 AM

Subject: Price Quote from Pro Petroleum - CKC From: Brian Hester <bhester@propetroleum.com> Date: 10/27/2021, 5:41 PM To: "dustin@ckcconstruction.com" <dustin@ckcconstruction.com>

Price Quote

For: CKC Construction Price Effective: 10/28/2021

Effective Time: 0:00

Loading City Product Type Product Price Freight Est. Taxes Delivered

Price

Phoenix, AZ Clear ULSD 2.9700 0.1251 0.5161 3.6112

Dyed ULSD 2.9750 0.1251 0.26895 3.3691

Conv 10% Unl 2.8400 0.1075 0.37591 3.32343

Tucson, AZ Clear ULSD 3.0100 0.1021 0.5161 3.628244

Dyed ULSD 3.0150 0.10214 0.27239 3.3895

Conv 10% Unl 2.8650 0.08781 0.37591 3.328718

Thank you for your business!

Please send any questions regarding this email to:

Brian Hester 602-723-2758 Bhester@propetroleum.com

Prices are subject to change without notification - Product is subject to availability

Frt Charges may change if less than a full load is ordered. Additional charges may apply for splits, pump, additional stops, delays or alternate carriers.

Taxes are estimated and may change without notice. All applicable taxes and fees will be billed on the invoice.

Quoted Prices are based upon the following full loads

Gasoline:8600 gallons minimum

Diesel:7400 gallons minimum

Combination:8000 gallons minimum

CONFIDENTIALITY NOTICE: The information contained in this message is confidential, privileged, proprietary, or otherwise legally exempt from disclosure. If the reader of this message is not the intended recipient, or an employee or agent responsible for delivering this message to the intended recipient, you are hereby notified that you are not authorized to read, print, retain, copy or disseminate this message, any part of it, or any attachments. Any unauthorized use, disclosure, or dissemination of the information contained in this message shall subject such person to legal recourse governed by the laws of the State of Texas and that any legal proceedings shall be under the jurisdiction of the courts located in Lubbock County, Texas. If you have received this message in error, please delete this message and any attachments from your system without reading the content and notify the sender immediately of the inadvertent transmission. Thank you for your cooperation.

cid:image002.jpg@01

Price Quote from Pro Petroleum - CKC

1 of 1 9/30/2022, 10:12 AM

Subject: Price Quote from Pro Petroleum - CKC From: Brian Hester <bhester@propetroleum.com> Date: 9/29/2022, 6:28 PM To: "'dustin@ckcconstruction.com'" <dustin@ckcconstruction.com>

Price Quote

For: CKC Construction Price Effective: 9/30/2022

Effective Time: 0:00

Loading City Product Type Product Price Freight Est. Taxes Delivered

Price

Phoenix, AZ Clear ULSD 3.8400 0.1339 0.5161 4.4900

Dyed ULSD 3.8450 0.1339 0.34377 4.3226

Conv 10% Unl 3.6500 0.1151 0.37591 4.14096

Tucson, AZ Clear ULSD 3.7500 0.10929 0.5161 4.37539

Dyed ULSD 3.7550 0.10929 0.33603 4.2003

Conv 10% Unl 9.9900 0.09396 0.37591 10.45987

Thank you for your business!

Please send any questions regarding this email to:

Brian Hester 602-723-2758 Bhester@propetroleum.com

Prices are subject to change without notification - Product is subject to availability

Frt Charges may change if less than a full load is ordered. Additional charges may apply for splits, pump, additional stops, delays or alternate carriers.

Taxes are estimated and may change without notice. All applicable taxes and fees will be billed on the invoice.

Quoted Prices are based upon the following full loads

Gasoline:8600 gallons minimum

Diesel:7400 gallons minimum

Combination:8000 gallons minimum

CONFIDENTIALITY NOTICE: The information contained in this message is confidential, privileged, proprietary, or otherwise legally exempt from disclosure. If the reader of this message is not the intended recipient, or an employee or agent responsible for delivering this message to the intended recipient, you are hereby notified that you are not authorized to read, print, retain, copy or disseminate this message, any part of it, or any attachments. Any unauthorized use, disclosure, or dissemination of the information contained in this message shall subject such person to legal recourse governed by the laws of the State of Texas and that any legal proceedings shall be under the jurisdiction of the courts located in Lubbock County, Texas. If you have received this message in error, please delete this message and any attachments from your system without reading the content and notify the sender immediately of the inadvertent transmission. Thank you for your cooperation.

Brian Hester Division Director, Wholesale Account Development bhester@propetroleum.com office: (865) 474‑8063199487 | cell: 602-723-2758 5508 Lonas Drive / Knoxville, TN 37909

CONFIDENTIAL

cid:image002.jpg@01

Price Quote from Pro Petroleum - CKC

1 of 2 9/30/2022, 10:10 AM

This e-mail message and all corresponding e-mail messages, including all attachments, are intended solely for the individual(s) named above. They contain confidential and/or proprietary information. Do not forward, copy, distribute or otherwise relay the messages or their content to any individual without first contacting the PTC LLC Law Department.

If you have received this e-mail message in error, do not read, forward, copy or distribute it or any of its content to anyone. In addition, please notify the sender that you have received this message immediately by return e-mail and delete it.

Price Quote from Pro Petroleum - CKC

2 of 2 9/30/2022, 10:10 AM