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Committee backs doubling of city fuel contract with Western States Oil
Summary
The Budget & Finance Committee recommended increasing the city’s fuel contract with Western States Oil from $25 million to $50 million and extending the term one year, citing a low-bid procurement and a contingency allowance; the item moves to the full Board with the committee’s recommendation.
The Budget and Finance Committee on a voice motion recommended that the full Board of Supervisors approve a resolution to increase the city’s contract with Western States Oil from $25,000,000 to $50,000,000 and extend the term by one year under Charter Section 9.118.
City purchaser Naomi Kelly told the committee the competitively solicited contract will supply gasoline, diesel and biodiesel for city vehicles and equipment, including buses, fire trucks, ambulances, police vehicles and generators at hospitals. Kelly said Western States Oil’s bid is fixed for the full term and includes overhead and delivery costs.
The budget analyst, identified in the record as "Mister Rose," called attention to the report’s page 5 and said the requested increase includes about $4.3 million in contingency but that the contingency is explained in the analyst’s report. Rose recommended approval.
Supervisor Ross Macareamy moved approval and Supervisor Sean Ellsburn seconded. Public comment was opened and, with no speakers, closed. The committee forwarded the resolution to the Board of Supervisors with a recommendation for approval "without objection."
The committee record cites Charter Section 9.118 as the governing authority for the contractual action. No formal roll-call vote or individual yeas and nays were recorded in the committee transcript; the minute shows the item was advanced "without objection."
