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County approves asphalt procurement contracts, ties pricing to monthly oil metric
Summary
The board approved contracts to procure asphalt for 2025 with multiple vendors, locking per-ton pricing to a monthly oil index and authorizing purchases up to $500,000 (and authorizing multiple vendor contracts to provide redundancy).
Tillamook County commissioners approved May 14 contracts for the county's 2025 asphalt procurement program, allowing purchases from multiple vendors and using a monthly price adjustment tied to the cost of oil in the asphalt supply chain.
Public Works Director Chris Lady told the board the county received three bids and the procurement allows the county to contract with each of the three bidders. He said the contract with SC Paving Company carries a dollar amount of $500,000 and that the critical variable is the cost per ton of asphalt, which may be adjusted monthly if the price of oil in the mix changes.
Lady said Road and Driveway Company, located south of Lincoln City, is a practical backup when supply issues arise or when projects are located far south; the county may buy from more than one vendor to meet regional needs. Commissioners approved the motions by voice vote.
Staff said asphalt prices are currently lower than the same time last year and that the county can purchase up to a cap (discussed in the meeting) depending on tonnage and price indexes; exact tonnage depends on future costs per ton.
