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City awards annual propane bid to MFA Oil at $1.52 per gallon

5496546 · July 29, 2025
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Summary

After receiving three bids, the council approved a one‑year agreement with MFA Oil to supply propane to city facilities at a price of $1.52 per gallon; staff said MFA was lowest and can refill cylinders at its facility.

City staff recommended and the council approved an annual contract with MFA Oil to provide propane to various city facilities through June 30, 2026.

Jessica (staff) reported the city received three bids: MFA Oil at $1.52 per gallon, Ferrellgas at $1.69 per gallon and Phoenix Contracting at $2.69 per gallon. MFA Oil is also able to refill the city's propane cylinders at its facility, depending on cylinder size. Staff said the per‑gallon price rose slightly from $1.50 to $1.52 compared with the prior year. The council approved the ordinance on first and second readings and recorded the agreement.

Discussion vs. decision: The action was a routine procurement and the council formally approved the one‑year contract.