Heating oil for state facilities for the 2013-2014 heating

The State of Maine Division of Purchases is requesting quotations on heating oil, B5 bio-fuel, and K-1 kerosene for 299 state facilities across seven geographic regions, with quotations due October 29, 2013 at 2:00 p.m. local time and first anticipated deliveries in November 2013.

The scope covers supply to facilities distributed across Bangor, Capital, Downeast, Midcoast, Northern, Southern, and Western regions, with an estimated combined annual volume of 2,513,220 gallons. Bidders may submit quotations for one, several, or all regions, with separate awards made by region and fuel type. B5 bio-fuel must meet ASTM D6751-03 standards and be delivered pre-blended and certified. Some facilities are transitioning to alternative fuels but may maintain dual-burner capability and continue ordering heating oil throughout the contract period.

Pricing is structured on a Margin-Over-Rack basis. Vendors quote a fixed monetary margin per gallon; the variable wholesale rack price is established daily by the Oil Price Information Service (OPIS) on the date immediately preceding delivery, designated for either Portland or Bangor based on facility location. The State reserves the right to negotiate price locks on specific dates for non-dual burner facilities. Award is based on best value, defined as vendor eligibility to legally provide heating fuels in Maine and the lowest fixed margin offered. In case of tie bids, preference is given to in-state bidders or those offering commodities produced or manufactured in Maine.

The contract term is one year. Vendors must submit invoices within 36 hours of delivery, including daily OPIS reports documenting rack prices; payment terms are net 30 days. Selected contractors must accept credit cards with no surcharges and submit quarterly reports due 15 days after each quarter end. The Director of Purchases may extend the contract beyond one year with vendor consent and may extend pricing to additional facilities not originally listed.