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County staff warn of sharp gasoline price jump; budget may need adjustment
Summary
A county department head reported the first gasoline delivery under a new contract came in at $3.88 per gallon, up from $2.48 on March 5 — about a 56% increase — and said the county is monitoring fuel costs and may adjust the budget before finalization.
A Rockingham County department head told commissioners at the April 30 meeting that the county's first gasoline delivery under a new contract arrived at $3.88 per gallon, up from $2.48 on March 5, an increase the speaker characterized as roughly 56%.
The speaker said the county had budgeted for an approximate 25% increase but that this single delivery exceeded that expectation. "We were paying $2.48 a gallon in March on March 5. Yesterday, it was $3.88," the department head said, and added staff will monitor future deliveries and make adjustments before the budget is finalized.
Officials explained the county typically receives about six deliveries per year and that the contract ties prices to the rack rate plus a small margin. Commissioners asked whether contract clauses allow for adjustments and were told the RFP allows rack price fluctuation; staff noted they had locked in an arrangement with a pass‑through of the rack rate plus a set margin.
Finance staff said they will keep an eye on deliveries and the board can consider budget amendments if the trend continues.
