IFB-25-26-062 Addendum No.2 Question and Answer Addendum_.pdf
PDF 280 KB Posted
- Attached to
- IFB-25-26-062-Gasoline-Diesel Fuel
- Solicitation number
- IFB-115740
- Issued by
- Buena Vista City, Virginia
About this file
This is an Addendum No. 2 to Invitation for Bid (IFB) 25-26-062 issued by the City of Danville, Virginia for the procurement of gasoline and diesel fuel. The addendum provides clarifications to vendor questions regarding the fuel supply contract. The contract term is one year from the award date. Questions regarding the bid were due by Thursday, March 26, 2026, at 5:00 PM, with bid opening scheduled for Thursday, April 2, 2026, at 2:00 PM. The City anticipates awarding the contract and establishing the fuel supply relationship shortly thereafter.
The City of Danville currently purchases fuel via NYMEX fixed price purchasing and requests that vendors utilize an index-based pricing methodology. Vendors must submit daily fuel price projections spreadsheets covering up to one year, allowing the City to select and lock in volumes for specific months at preferred pricing. Vendors are expected to bid a fixed markup per gallon that applies regardless of fuel price fluctuations. Invoicing may be submitted via email with supporting documentation available through a portal and on-site delivery records. The quoted daily price provided by vendors must include the markup, delivery fees, and all applicable taxes and environmental fees, except federal excise tax and sales tax, which are excluded from the offer price. The City is exempt from federal excise tax and sales tax. Winter diesel additives are managed by the City and not required from the supplier. Vendors must acknowledge receipt of all addenda as a condition of bid submission.
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Other files
| File | Type | Posted |
|---|---|---|
| IFB Template Revised 25-26-062 Final Post.pdf | ||
| 25-26-062-Addendum No.1 3-26-26 Post.pdf |
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Text version
IFB-25-26-062
“Gasoline-Diesel Fuel “
Addendum No. 2 March 31,2026
Questions and Answers:
The following clarifications are provided in response to vendor questions. This Addendum shall be considered part of the RFQ and must be acknowledged by all respondents.
1. Please note the end date of contract is listed as 2026 Answer: One year from award.
2. Is the city of Danville currently purchasing via Nymex (Fixed price) purchasing?
Answer: Yes
3. Please define the method of index purchasing requested from this agreement. In the specification there is a requirement foe vendors cost on demand from purchasing dept Answer: Currently and in the past, the vendor sends us a daily spreadsheet in the morning with fuel projections for up to a year out. We then pick a few months we like the price and lock amount of gallons for that month(s). Currently and in the past when vendors bid on services, they bid a fixed mark up. Meaning, I’m going to make 1,2,3 etc. cents per gallon regardless of what the price of fuel is.
4. Will the city accept invoicing via email with supporting document images available through portal as well as left on site after delivery.
Answer: Yes
5. Is the City of Danville exempt any other taxes than Federal Excise Tax?
Answer: Sales Tax
6. The pricing methodology is unclear. Please define the City's interpretation of Rack Pricing.
The City is closest to Greensboro, NC for supply. Is the City looking for OPIS Average Gross
IFB-25-26-062 Gasoline-Diesel Fuel Addendum No.1
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Daily, OPIS Low Gross Daily, Specific Rack Price Daily, Gross or Net pricing?
Answer RAC pricing in my interpretation is the cost of fuel at the moment I order, if I don’t have a current contract. The city is looking for the lowest cost of fuel we can get as a whole, with markup, taxes, delivery, etc.
7. Please confirm that all required taxes and environmental fees are not to be included in offer price, only product, delivery and vendor fees.
Answer: They are not included. All we are looking for is markup. When we receive our daily spreadsheet with the projected costs across said months, we will lock in where we are comfortable at. Could be one month, could be 12. The price I expect to be quoted daily will be with markup, taxes, delivery, etc. included.
8. Does the City require winter diesel additives from the supplier or is that managed by the City?
Answer: No Managed by City
9. If by the vendor, what months are the products to be additized?
Answer: N/A
10. Please define the annual volume of each product by location.
Answer: Already Provided in a previous question
11. Please provide the current pricing by the selected vendor from the last time this contract was bid. Not t values, but current values.
Answer: Already Provided in a previous question
End of Addendum No. 1
IFB-25-26-062 Gasoline-Diesel Fuel Addendum No.1
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Bidders shall acknowledge receipt of all Addenda.
Carol Henley, Director of Purchasing
Company Name _________________________Signature: _________________
Address: ________________________________Name: ___________________ (Printed)
________________________________________Title: ____________________ City State Zip Code
Date: _________________________ E-mail Address_____________________
Phone No.: _____________________ Fax No.: _________________________
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