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4.7 SR 11-04-2024
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4.7 SR 11-04-2024
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Fuel Consortium Program - Overview <br />Attachment A <br />The current Contract with Beaudry Oil is set to expire January 31, 2025. Due to market conditions and the solicitation <br />process, the procurement team is exploring pricing options for a new solicitation or agreement term and program that <br />will begin February 1, 2025. In order to achieve this, participants must submit their quantities for the Fixed Price Fuel <br />Program no later than November 10, 2024. <br />Fixed Price Fuel Program —Agencies participating in the Fixed Price Fuel Program are required to take 100% of its <br />monthly quantity committed and the Contractor is required to provide 100% of the monthly quantities contracted. The <br />program will be for 12 months, from February 1, 2025 through January 31, 2026. <br />- If the original purchaser is unable to take all of the monthly committed gallons, the Contractor will be <br />responsible for contacting other location participating the Fixed Price Fuel Contract to determine if they are able <br />to take additional gallons. <br />- If the Contractor is able to ship the unused gallons from the original participating purchaser to another <br />participating agency, there will be no cost to the original participating agency. If the Spot Price is less than the <br />Fixed Price, participants are not required to take more than the monthly amount they committed to. <br />- If the Contractor is unable to ship the unused gallons from the original participating purchaser to another <br />participating agency, they may sell the unused gallons on the open market and either debit or credit the <br />difference in price back to the original participating purchaser based on the open market sell price. <br />- If the Contractor is unable to provide all of the monthly committed gallons to a participating member by the due <br />date and time, the participating member may purchase the product on the open market and charge the <br />Contractor for any actual additional costs incurred. <br />Spot Price Program — In addition to the Fixed Price Program, we will include a Spot Price Program for Participants to <br />handle extra fuel needs over and above the committed quantities in the Fixed Price Program. Only Participants in the <br />Fixed Price Program may use the Spot Prices offered by the Contractor. <br />If the Contractor is unable to provide the order quantity to a State agency or CPV member by the required due date and <br />time, the State agency or CPV member may purchase the product on the open market and charge the Contractor for any <br />actual additional costs incurred. <br />The signature below and/or submission of the Order Form (Attachment B) certify that your Entity agrees to all terms, <br />conditions, and prices of any Contract agreement entered into on its behalf by the State of Minnesota, which includes, <br />by is not limited to, taking 100% of the monthly fuel quantities submitted for the Fixed Price Program on the Fuel Order <br />Form (Attachment B). There is no requirement to take any product(s) using the Spot Price Program. <br />Agency Name: City of Elk River <br />Address: 13065 Orono Parkway, Elk Rlver MN 55330 <br />Contact Person: Justin Femrite <br />Title: Public Works Director <br />Phone No.: 763-635-1000 Fax: Email: JFemrite@ElkRiverMN.gov <br />Authorized Signature: <br />Page 34 of 106 <br />
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