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District expects about $20,000 annual savings from cooperative fuel contract, administration says
Summary
Administration reported Keystone Purchasing Network bids will lower diesel and 87‑octane prices about 44¢ per gallon, translating to roughly $20,000 in estimated annual savings; board requested historical usage comparisons before final approval.
Bill Brackett told the operations committee that the district uses the Keystone Purchasing Network cooperative and that the new bids returned prices roughly 44¢ per gallon lower for diesel and 87‑octane gasoline. "If you average that out... we're looking at about a $20,000 savings for the year," Brackett said.
Brackett explained the district sometimes considers a fluctuating‑price contract but this year fluctuating bids were sparse and he recommended the fixed contract: "The fluctuating costs were not friendly this year... in one instance with 87 octane, the contractors didn't even submit a bid for fluctuating." He also warned that if the district uses more fuel than the estimate, any extra gallons would be purchased at the market price at that later time, potentially reducing the savings.
Board members asked how frequently the district had underestimated gallonage in past years and requested Brackett document historical overuse percentages and provide a comparison of worst‑case fluctuating prices from the prior year. Brackett said he would prepare that information and provide it to the board by email and review the item for a vote at the next regular board meeting.
Next steps: staff will include approval of the recommended fuel bid on the regular board agenda for a vote; if approved, cooperative contract pricing will apply for the upcoming school year.
