HomeMy WebLinkAbout20141083.tiff RESOLUTION
RE: APPROVE CONTRACT EXTENSION/RENEWAL REQUEST FOR 2014 FUEL
(#B003-09)-AGFINITY, INC. (FKA AGLAND, INC.)
WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to
Colorado statute and the Weld County Home Rule Charter, is vested with the authority of
administering the affairs of Weld County, Colorado, and
WHEREAS, the Board has been presented with a Contract Extension/Renewal Request
between the County of Weld, State of Colorado, by and through the Board of County
Commissioners of Weld County, on behalf of the Department of Public Works, and Agfinity, Inc.,
commencing April 27, 2014, and ending April 27, 2015, with further terms and conditions being as
stated in said Contract Extension/Renewal Request, and
WHEREAS, after review, the Board deems it advisable to approve said Contract
Extension/Renewal Request, a copy of which is attached hereto and incorporated herein by
reference.
NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld
County, Colorado, that the Contract Extension/Renewal Request between the County of Weld,
State of Colorado, by and through the Board of County Commissioners of Weld County, on behalf
of the Department of Public Works, and Agfinity, Inc., be, and hereby is, approved.
The above and foregoing Resolution was, on motion duly made and seconded, adopted
by the following vote on the 7th day of April, A.D., 2014.
BOARD OF COUNTY COMMISSIONERS
ELD CO//UNTY, COLORADO
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2014-1083
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MEMORANDUM
Co'c _uh T TO: Board of Commissioners DATE: April 2, 2014_
FROM: Jay McDonald, Director of Public Works ct G
SUBJECT: Renewal of Fuel Bid Contract, B003-09
Agland's bid was approved in 2009 for fuels with a contract term of 4/27/09 to 4/27/12. In the bid, it was stated
that the contract could be renewed up to four (1) one year extensions at the discretion of the Weld Board of
County Commissioners. As part of that agreement, staff recommends extending the contract for an additional
year. Agfinity/Agland did not change their contract pricing on diesel or gasoline. The mark-up price for
propane will be increased from 20.5 cents to 27.5 cents per gallon.
The contract term for this extension would be from April 27, 2014 to April 27, 2015.
Please see the attached for more documentation.
2014-1083
M:mona/wordfiles/mfuelbidextension 14.docx
MEMORANDUM
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TO: Barb Connolly,Trevor Jiricek
DATE: 2/20/14
GOUTY
FROM: Jay McDonald, Materials Supervisor
SUBJECT: Propane contract
Paul Runge of AgFinity is the person who oversees the propane division of the company. He evaluated the pricing
structure to Weld County for propane delivered to satellite facilities and has determined that it is not profitable for them at
the current pricing. His rationale is:
"The rationale behind the change in our pricing is due to the increased cost of doing business, referencing
page 12 of the original bid document that was agreed upon March 16`h,2009. During the delivery period from
then till now, the following have contributed to the rising cost of delivery: Regulatory policies, Insurance, Fuel,
and Updating equipment.
Thank you for letting us be your current propane supplier and look forward to the future.
Director of propane
Paul Runge"
They propose to increase their pricing from 20.5 cents per gallon(mark up only) to 27.5 cents per gallon. That is a 7 cent
per gallon increase.
L Jay McDonald
Division Supervisor
m v Administration\Forms\MHMO-Form.doc
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ENDLESS
OPPORTUNITY
April 1,2014
Weld County
915 10th Street
Greeley,CC 80631
Jay,
Agfinity proposes to keep the Weld County Petroleum bid at the same rates as this past year. This is for all Weid County
locations and products.
If you have any questions you may reach me at 970-454-4086.
Sincerely,
Tim Kiefer
Agfinity Inc.
T 970454.4000 • 800-433.4888 • F 970464-2144 • 260 Fectbry Road,Eaton.CO80815 • wwwag6n8ymc com
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MEMORANDUM
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TO: BOCC
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FROM; Barb Connolly, Controller
DATE: March 21, 2014
SUBJECT: Pricing Increase for Propane
Attached is a memo from Jay McDonald regarding increase price for propane. We are in the final
year of the allowable extension of this contract. Based on criteria stated and the fact that Agfinity
has been the lowest bidder in the contract last time I would recommend we accept the increase.
I•
Work session Agenda for approval •
Bill
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