ITB 2026-020-Stone Supply and Hauling Services-Addendum 2.pdf

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Attached to
ITB # 2026-020 Stone Supply and Hauling Services
Solicitation number
IFB-117384
Issued by
Scott County, Salem City, Virginia

About this file

This Addendum #2 to ITB #2026-020, issued by the City of Salem, Virginia Purchasing Department on April 28, 2026, withdraws Addendum #1 in its entirety and revises the bid due date for stone supply and hauling services. The City determined that the previously proposed Fuel Surcharge Adjustment mechanism was unnecessary given the contract structure of a one-year initial term with annual renewal options, wherein pricing adjustments can be negotiated at the start of each renewal period through mutual agreement. Bidders are directed to disregard all provisions of Addendum #1, including the Fuel Factor Declaration and its associated acknowledgment page, and instead submit bids based on the original ITB #2026-020 documents without any fuel surcharge mechanism. The revised bid due date is extended to Thursday, May 7, 2026, at 3:00 PM (Local Time), providing additional time for bidders to reprice their proposals under the original ITB structure.

Bidders must submit their complete hauling cost per ton on the original Bid Form (Attachment A), incorporating all assumptions for fuel costs and operating expenses over the upcoming 12-month contract period as a single, all-inclusive rate. The City noted that annual renewal negotiations serve as the standard mechanism for Virginia local governments to address fuel and other cost movements on commodity contracts of this type, adequately addressing cost volatility without requiring a separate monthly surcharge adjustment. All other provisions of the original ITB remain unchanged, including the scope of work, specifications, contract period terms, and renewal pricing adjustment provisions. Bidders who previously submitted bids prior to Addendum #2 issuance may withdraw and resubmit based on the original ITB structure, and the signed acknowledgment of Addendum #2 must be included in all bid submittals.

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CITY OF SALEM

PURCHASING DEPARTMENT

114 NORTH BROAD STREET

P.O. BOX 869

SALEM, VA 24153

PHONE (540) 375-3063

DATE: APRIL 28, 2026

ITB # 2026-020

STONE SUPPLY AND HAULING SERVICES

DATE AND TIME BID DUE: MAY 7,2026 AT 3:00 PM (LOCAL TIME)

ADDENDUM # 2

This Addendum # 2, dated April 28, 2026, amends or supplements Invitation To Bid (ITB) # 2026-020 as indicated below:

I. Clarification

ADDENDUM # 1 IS WITHDRAWN IN ITS ENTIRETY

Based on bidder feedback and further consideration of the contract structure, the City has determined that Addendum # 1 is not necessary and is hereby withdrawn in its entirety.

Bidders shall disregard Addendum # 1 in full, including the Fuel Surcharge Adjustment clause and the Fuel Factor Declaration (Attachment B). Bidders shall bid on the original ITB # 2026-020 documents as issued, with no fuel surcharge mechanism.

The bid due date is extended to Thursday, May 7, 2026 at 3:00 PM (Local Time) to give all Bidders time to price their bids based on the original ITB structure.

1. Withdrawal of Addendum # 1

Bidders shall disregard Addendum # 1 in full and shall not submit the Fuel Factor Declaration with their bid response. The signed acknowledgment page from Addendum # 1 is also no longer required.

2. Reason for Withdrawal

The City issued Addendum # 1 in response to a Bidder question regarding fuel cost volatility. After issuance, additional Bidder feedback indicated that the proposed Fuel Surcharge Adjustment mechanism was creating confusion and concern. After further review, the City has determined that:

• The contract structure under ITB # 2026-020 is a one (1) year initial term with annual renewal options, not a multi-year fixed-price contract.

• The original ITB already provides that pricing may be adjusted at the start of each renewal term upon mutual agreement between the City and the Successful Bidder.

• Annual renewal negotiations are the standard mechanism used by Virginia local governments to address fuel and other cost movement on multi-year commodity contracts of this type, and adequately address fuel cost considerations without need for a separate monthly surcharge mechanism.

For these reasons, a separate fuel surcharge clause is unnecessary, and the City has elected to return to the original ITB structure as issued.

3. Guidance to Bidders on Pricing

Bidders shall price their Hauling Cost Per Ton on the original Bid Form (Attachment A) based on the Bidder's own assumptions for fuel costs and other operating expenses over the upcoming 12-month contract period.

The hauling rate stated on the Bid Form shall be the Bidder's complete rate, inclusive of all costs, contingencies, and margin the Bidder elects to include.

Fuel cost adjustments for subsequent contract years will be addressed through the renewal negotiation process described in the Contract Period section of the original ITB. At the end of each contract year, the City and the Successful Bidder may discuss and agree upon any pricing adjustments for the following renewal term, including adjustments related to fuel cost movement.

4. Bid Due Date — REVISED

The bid due date for ITB # 2026-020 is hereby revised from Thursday, April 30, 2026 at 3:00 PM (Local Time) to Thursday, May 7, 2026 at 3:00 PM (Local Time). All other deadlines and procedural requirements in the ITB remain unchanged.

Bidders who submitted bid responses prior to issuance of this Addendum may withdraw and resubmit their bids based on the original ITB structure. Withdrawal must be made in writing to the Purchasing Department prior to the revised bid due date. Bidders who submitted bids that included a Fuel Factor Declaration are encouraged to review and resubmit, as the Fuel Factor Declaration is no longer a required submittal.

5. What Is Unchanged

All provisions of the original ITB # 2026-020 as issued remain in full force and effect, including without limitation:

• The original Bid Form (Attachment A), which Bidders shall complete and submit as issued

• The scope of work, specifications, and delivery requirements

• The contract period (one-year initial term with renewal options)

• Renewal pricing adjustment provisions (mutual agreement at the start of each renewal term)

• All other terms, conditions, instructions, and submittal requirements

BY SIGNING THIS DOCUMENT, THE OFFEROR ACKNOWLEDGES THAT THEY HAVE RECEIVED THIS ADDENDUM # 2 AND

FULLY UNDERSTANDS THESE CLARIFICATIONS AND CHANGES.

***THE SIGNED ADDENDUM MUST BE INCLUDED IN THE BID SUBMITTAL***

OFFEROR’S SIGNATURE:

COMPANY:

END OF ADDENDUM # 2 TO ITB # 2026-020

Purchasing Department
114 North Broad Street
P.O. Box 869

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