Metro Fuel Services

The City of Madison Metro Services is seeking a fixed-price contract for No. 2 Ultra Low Sulfur Diesel Fuel, with a total procurement of 1,344,000 gallons (32 futures) for the period from January 1, 2019 through December 31, 2019. The solicitation requires delivery of fuel to the Metro Maintenance and Administration Facility at 1101 East Washington Avenue, with specific delivery restrictions between 7:30 a.m. and 2:00 p.m., Monday through Friday. Bidders must maintain a 30-day fuel inventory and provide emergency delivery within eight hours of notification. Qualification requirements include providing three references, proof of insurance, a performance bond quote covering 25 percent of the fixed contract amount, and evidence of fuel compliance with American Society of Testing and Materials (ASTM) and EPA standards. The bid submission deadline was Tuesday, July 10, 2018 at 10:00 AM CST, with electronic submission required via email. Pricing must escalate and de-escalate with the New York Mercantile Exchange (NYMEX) January 2019 contract for New York Harbor Ultra Low Sulfur Diesel until award notification, at which point pricing becomes fixed for the entire contract quantity.

The solicitation includes several important compliance requirements for potential bidders. Contractors employing 15 or more employees with annual aggregate business of $25,000 or more must comply with the City's Affirmative Action Ordinance and submit required documentation within 30 days of contract award. Insurance requirements are stringent, mandating commercial general liability insurance of at least $1,000,000 per occurrence, business automobile liability insurance of $1,000,000 combined single limit, and statutory workers' compensation insurance. A local preference initiative applies to this procurement, which may provide an advantage to local vendors. While a specific contract value is not explicitly stated, the total fuel quantity of 1,344,000 gallons suggests a substantial procurement. The City reserves the right to reject any or all bids, make no award, or negotiate with selected bidders. Blended biodiesel/diesel products are explicitly not acceptable for this solicitation, and the successful bidder must provide fuel from four qualified suppliers, with subcontractors permitted if disclosed in the bid submission.