IFB_7800_MLJ1046_ADD_3_v1.pdf

This document is Addendum 3 to Invitation for Bid (IFB) 7800 MLJ1046 issued by the City of Austin, Texas for bulk motor fuels and fuel-related products and services. The procurement seeks a single vendor to supply unleaded gasoline, ethanol fuels (E10 and E85), diesel, biodiesel, renewable diesel, diesel exhaust fluid (DEF), and associated delivery services to the city's entire vehicle and equipment fleet across approximately 130 tank locations citywide. The estimated annual volume is approximately 5 million gallons. A non-mandatory pre-offer meeting is scheduled for October 13, 2026 at 3:00 pm CT via Microsoft Teams, with written questions due by October 16, 2026 at 4:00 pm CT. Proposals are due October 29, 2026 at 2:00 pm CT and must be submitted electronically through Austin Finance Online's eResponse system. The initial contract term is 24 months with up to three optional 12-month extensions. All offers must remain valid for 150 days following bid opening.

Pricing for market differentials is fixed for the contract life, with fuel costs benchmarked against the Oil Price Information Service (OPIS) at 10:00 a.m. EST on the delivery date, allowing contractors to add or subtract a fixed differential. DEF and transportation services pricing is firm and fixed for the first 12 months, then subject to economic price adjustment. All fuels must meet ASTM, TxLED, and TCEQ standards. Contractors must demonstrate a minimum of five years' experience in bulk fuel supply, maintain dedicated bulk storage tank capacity within Central Texas, employ CDL and Hazmat-certified drivers, provide secondary product testing through independent laboratories, and maintain redundant backup carriers. Delivery must occur within 24 hours of order confirmation or six hours for Code Red emergency orders, with the City maintaining delivery priority over non-governmental customers. Evaluation uses best value competition with local business preference discounts (five percent for bids up to $500,000; three percent for $500,000–$50 million) and small business participation discounts (two percent or one percent based on bid tier). The contractor is subject to the City of Austin Living Wage Program, requiring minimum compensation of $22.15 per hour for all employees and subcontractors. Workers' compensation, commercial general liability, business automobile liability, and environmental impairment/pollution liability insurance with specified minimum limits are mandatory.