HILLMAN COMMUNITY SCHOOLS propane bid - 10-24-19.pdf

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Attached to
Propane Fueling System & Propane Fuel Bids
Solicitation number
RFP HMAN 200000000141 1
Issued by
Macomb County, Michigan

About this file

This is a Request for Bid document from Hillman Community Schools (HCS) in Hillman, Michigan, seeking proposals for a propane fueling system and propane fuel supply. HCS is requesting installation of a comprehensive, turnkey fueling station with a minimum of one 1,000-gallon above-ground propane tank, pump, and dispenser to support six planned propane-powered school buses. The fueling station will be located at 26042 M-32, south of the industrial arts wing. Installation is targeted for February 15, 2020, and sealed bids must be received by November 7, 2019 at 1 PM EST. The School Board will select the winning bidder at their November 11, 2019 meeting, with the award conditional upon HCS receiving 40 percent rebates from the VW settlement fund administered by the Michigan Department of Environmental Quality. The contract extends through June 15, 2023, with yearly renewal options that are non-automatic. HCS estimates annual propane consumption at 20,500 gallons.

The bid structure requires multiple pricing options: a fixed price per gallon in US dollars through June 15, 2021 (approximately 15 to 16 months after initial delivery), a fixed margin in cents per gallon for annual extensions beyond June 15, 2021 based on Mont Belvieu, Texas spot prices, and a floating rate option in cents per gallon above the Mont Belvieu benchmark. Bidders may also quote a fixed price through June 15, 2022. The contractor must retain ownership of all infrastructure, provide "Bobtail" service if the station is not operational by February 15, 2020, respond to emergency service calls within 48 hours, and supply annual employee training and safety inspections. HCS will provide the gravel pad, three-phase 220-volt underground electrical service, and crash bollards. The contractor is responsible for all permits, licenses, inspections, certifications, site surveys, and compliance with local, state, and federal regulations. The pump must be capable of fueling a Blue Bird school bus in 8 to 12 minutes with a minimum capacity of 10 to 15 gallons per minute.

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HILLMAN COMMUNITY SCHOOLS

REQUEST FOR BID – PROPANE FUELING SYSTEM AND PROPANE FUEL BIDS

You are cordially invited to submit a bid for liquid propane fueling system and propane fuel in accordance with the attached specifications, terms, and conditions. Prospective respondents are advised to read this information over carefully prior to submitting a proposal.

One copy of the proposal must be submitted in a sealed envelope, plainly marked:

BID – PROPANE FUELING SYSTEM

Carl Seiter, Superintendent Hillman Community Schools 26042 M-32 Hillman, MI 49746

(989) 742-2908

All proposals/bids must be received by Thursday, November 7, 2019 at 1 PM EST. Bids will be presented at the November 11th School Board Meeting that begins at 6 PM. The winning bidder will be selected at that meeting and the award will be conditional upon HCS being awarded rebates funded from the VW settlement fund by the State of Michigan. MDEQ has indicated that awards will tentatively be made prior to Dec. 31, 2019.

OBJECTIVE:

The purpose of this Request for Proposal (RFP) is to secure a PROPANE FUELING SYSTEM FOR THE HILLMAN COMMUN ITY SCHOOL DISTRICT (HCS). HCS is seeking proposals for a comprehensive, turnkey fueling station involving installation of the necessary fueling infrastructure for propane powered buses. The provision of a continuous high quality propane supply, prompt maintenance services for the entire system, and annual training for employees prior to the beginning of the school year in August is required.

SCOPE OF THE WORK:

1) The propane fuel pumping station shall be located at 26042 M-32, Hillman, MI 49746 – South of the industrial arts wing – area has been marked with Pin Flags.

2) The awarded contractor shall:

a. Install a minimum of one 1000 gallon above ground propane fueling tank with new pump and dispenser in an appropriate cabinet or enclosure providing all parts and fittings.

Contractor may choose to install a second 1000 gallon tank if they wish to do so, or a single tank up to 1990 gallons.

b. Retain ownership of all infrastructure supplied to HCS and maintain and update the system as needed to meet the needs of the HCS and all applicable local, state and federal codes, laws, and requirements.

c. Coordinate with HCS personnel to facilitate installation on or about February 15, 2020. If this completion date is not realistic, please advise.

d. Provide “Bobtail” service for filling buses at no additional cost per gallon to the district if new buses have been delivered and new fueling station installation is not completed by Feb 15, 2020 and in the event of future breakdown at the onsite fueling location.

e. Provide emergency services for fuel pump infrastructure within 48 hours of notice.

f. HCS will provide a gravel pad sized as needed - approximately 27’ by 12’ (or 27’ by 19’ if supplier plans two 1000 gallon tanks), 3 phase 220 volt underground electrical permits and wiring to an agreed upon location within the gravel pad, and Crash Bollards around the gravel pad.

g. Contractor shall be responsible for all other technical and professional services required to obtain and maintain compliant on-site fueling equipment including, site survey, drawings, permit applications and fees, licenses, inspections, certifications, and equipment. HCS staff shall assist where needed.

h. Ensure all required safety measures and state, federal and local compliance regulations are satisfied.

i. Pump shall have two readers – continuous and resettable. Specify Minimum Pump Capacity of 10 to 15 gallons per minute - should be capable of fueling a Blue Bird school bus in 8 to 12 minutes – 93 useable gallons. Nozzle shall meet EU standard, “STAUBLI” GPV 14, or equal and shall be equipped with a “Break Away System.” Fueling Station shall be equipped with a filter – “Blue Moon,” or equal.

j. Provide annual training, safety inspection and fees.

k. HCS will receive Alternative Fuel Tax Credits if that program continues.

FUEL BID:

HCS plans to acquire 6 Propane school buses in the first quarter of 2020 if awarded state 40% rebates and estimates yearly consumption at 20,500 gallons for a full school year. HCS will not be able to proceed with purchase without rebates. HCS has 6 bus routes and will keep several diesel buses for back-up and for field and athletic trips. There are no current plans to purchase additional propane buses in the next 3 to 6 years. Quote floating rates and fixed margins for extensions based on daily average price at Mont Belvieu, Texas.

1. Initial contract through June 15, 2023 (approximately 3 1/3 years) with yearly renewal options – not automatic renewals.

2. Please quote fixed price per gallon in US dollars for purchases through June 15, 2021 – approximately 15 to 16 months after initial delivery. $______.

3. Please define a fixed margin in cents per gallon for annual extensions beyond June 15, 2021 using Mont Belvieu, Texas spot price. $ ______

4. As an alternative please bid floating rate in cents per gallon above the Mont Belvieu, Texas spot price. $_____.

5. As an additional option please quote fixed price per gallon in US dollars for purchases through June 15, 2022 – approximately 27 to 28 months after initial delivery. $ _____.

For additional information or questions: Jack Matthias, 989-657-6996 jack@thunderbayresort.com mailto:jack@thunderbayresort.com

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