Bulk Fuel (Aviation)

The Commonwealth of Kentucky Finance and Administration Cabinet, on behalf of the Kentucky Transportation Cabinet Department of Aviation, is soliciting bids for bulk aviation fuel supply to support Capital City Airport in Frankfort, Kentucky. The procurement seeks vendors to provide an estimated 175,000 gallons annually of Jet A fuel (meeting ASTM D1655 specifications with premixed anti-icing additive) and 60,000 gallons annually of Avgas 110LL fuel (meeting ASTM D910 specifications). All fuel must be delivered within 48 hours of notification in full tanker loads of not less than 7,000 gallons, Monday through Saturday with no extra charges, to 88 Airport Road, Building 401, Frankfort, Kentucky 40601. The initial contract period runs from January 1, 2023 through December 31, 2024, with two optional two-year renewal periods available subject to written approval and potential renegotiation. Pricing will be evaluated based on the vendor's markup above the Platt's Gulf Coast Price Index for Monday of the week of delivery for Jet A fuel and above the weekly Market Rack Price for Avgas fuel, with all freight and delivery charges incorporated into the quoted cost. The evaluation criteria allocate 95 points for lowest cost above index, five points for lowest credit card processing fee percentage, and require 48-hour delivery capability on a pass/fail basis for a total of 100 points. Vendor written questions were due by November 9, 2022 at 4:00 PM ET, and the bid closing date was extended to November 29, 2022 at 1:30 PM ET, with mandatory electronic submission through the Kentucky eProcurement system.

Kentucky resident bidders receive reciprocal preference consideration, and additional preferences are available for Kentucky Correctional Industries (20 percent preference) and other qualified bidders (15 percent preference). The selected vendor must provide excess Aircraft Fueling Liability Insurance of at least $50 million and Excess Product Liability Insurance of $10 million, with the Commonwealth named as additional insured, along with commercial general liability, automobile/truck liability, and workers' compensation coverage. The vendor must accept Commonwealth purchasing credit cards without charging transaction, gateway, or statement fees and provide 24/7 toll-free emergency service availability. Additional mandatory requirements include annual quality control inspections and reports, on-site quality assurance visits, provision of Safety Data Sheets, airport signage and branding materials as specified in Attachment D, line service training to airport employees meeting FAR 139.321 standards, and system compatibility with the airport's Total FBO accounting software and Fuelmaster #2650 Fuel Management System. No incumbent vendor or current contractor information was provided in the solicitation documents. While no specific award value or budget range is listed, the estimated annual fuel volume of 235,000 gallons combined with index-based pricing indicates a substantial procurement contract.