L. P. Gas Fueling Station at Lakeland Service Facility (Tenoroc) – Term Contract

The School Board of Polk County, Florida, issued a term contract solicitation (Bid File Number 028-MHH-0217) for a complete turn-key propane fueling system to be provided via lease arrangement for the District's school bus fleet operating on liquified petroleum (L.P.) gas. The procurement requires the contractor to design, install, and operate a fueling station at the Lakeland Service Facility (Tenoroc), located at 4725 Saddle Creek Road in Lakeland, Florida, with an estimated annual fuel consumption of 40,000 gallons supporting approximately 15 buses. Key deliverables include propane supply tanks, pressure regulators, indicator gauges, fuel dispensing equipment, and a fuel management system capable of identifying individual drivers and vehicles, along with tank monitoring systems with alert capabilities; all delivery, maintenance, and system costs must be included in a fixed fee markup per gallon added to the weekly Hattiesburg average propane price published in Butane-Propane News Weekly Propane Newsletter. Additional bid items encompass emergency fueling services for on-site station outages (4 estimated calls), in-county emergency call-outs (4 estimated calls), and out-of-county emergency services within a 100-mile radius (2 estimated calls). A critical requirement mandates that bidders must be capable of supplying L.P. gas for the systems they propose for District lease, effectively requiring a single vendor to provide both infrastructure and fuel supply. The initial contract period ran from March 29, 2017, through June 30, 2022, with the facility required to be operational by July 1, 2017; sealed bids were due February 22, 2017, at 3:00 PM, with bid award recommendations anticipated for posting on or about February 28, 2017, and School Board approval scheduled for March 14, 2017. The District required commercial general liability insurance with $1,000,000 per occurrence and $2,000,000 aggregate limits, worker's compensation coverage, and automobile liability insurance of $1,000,000 combined single limit.

The solicitation documents indicate no specific set-aside designations for disadvantaged enterprises, and both competing bidders had their principal place of business outside Florida, thereby not qualifying for local preference consideration. Ferrellgas L.P., based at 4901 W. Knollwood Street, Tampa, Florida, emerged as the incumbent contractor following initial award and subsequent contract renewals for additional periods through June 30, 2024, demonstrating the District's continuance with this vendor through multiple renewal cycles. The District provides a suitable pad, electrical disconnect, and crash barriers, while the contractor must furnish and maintain all other infrastructure components, indicating integration requirements with existing District facilities and operational systems. The initial bid tabulation showed AmeriGas Propane L.P. submitted the lowest composite bid of $27,100.00 at $0.66 per gallon for primary L.P. gas service, while Ferrellgas L.P. submitted $28,800.00 at $0.72 per gallon; however, subsequent award documents indicate Ferrellgas L.P. was ultimately selected and has maintained the contract through multiple renewal periods. The District reserves the right to purchase more or less fuel during the contract term and to add or subtract buses as needed, providing flexibility in the actual contract value based on operational demands.