HomeMy WebLinkAbout2021-07-13 - AGENDA REPORTS - PIGGYBACK CONTR FLEET FUELING CARD SERVICE (2)18
Agenda Item: 18
CITY OF SANTA CLARITA
AGENDA REPORT
CONSENT CALENDAR
CITY MANAGER APPROVAL: JU11
DATE: July 13, 2021
SUBJECT: APPROVE THE USE OF A "PIGGYBACK" CONTRACT FOR FLEET
FUELING CARD SERVICE
DEPARTMENT: Public Works
PRESENTER: Cruz Caldera
RECOMMENDED ACTION
City Council:
Approve the use of a "piggyback" contract with U.S. Bank Corporate Payment Systems
using Sourcewell cooperative purchasing contract 9080620-USB in an amount not to exceed
$422,000; and authorize a contingency of $42,200, for a total amount not to exceed $464,200
annually.
2. Authorize the City Manager or designee to execute up to three additional one-year renewal
options, not to exceed the combined annual base contract and contingency amount of
$464,200 annually, plus any adjustments consistent with the appropriate Consumer Price
Index.
3. Authorize the City Manager or designee to execute all contracts and associated documents,
modify the agreement in the event impossibility of performance arises, and execute all
documents subject to City Attorney approval.
BACKGROUND
Over the past 20 years, the City of Santa Clarita (City) has used the Voyager Fleet Card program
to fuel the City's fleet of over 300 vehicles and pieces of equipment. The Voyager Card is a
universal fuel card with extensive fleet management features and is accepted at most service
stations such as Chevron, Shell, Mobile, and other fuel providers within the City.
The Voyager Fleet Cards provides monthly comprehensive fuel management reports that allow
staff to track and control routine operation and maintenance costs as well as monitor fuel
purchases. The program is comprehensive and a cost-effective method of meeting the City's fleet
fueling needs. The City currently utilizes this program through the Department of General
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Services contract DGS-OFA-OPPS-06, however, the contract is not anticipated to be renewed.
Approval of the "piggyback" contract will allow the City to continue fuel purchases without
interruption.
On July 11, 1995, the City Council approved the use of "piggyback" purchasing, which allows
the City to place orders against a competitively awarded public agency contract. The City is
using the cooperative purchasing contract with Sourcewell (formerly NJPA), which allows the
City to take advantage of an existing process. Sourcewell contract #080620-USB was
competitively solicited and awarded on September 10, 2020, and is valid through September 10,
2024, with the option to extend the contract for an additional one-year period through
September 10, 2025. Staff has reviewed the contract pricing, and it remains competitive when
compared to other purchasing options.
ALTERNATIVE ACTION
Other action as determined by the City Council.
FISCAL IMPACT
Adequate funds are available in various vehicle fuel expenditure accounts to support the
recommended action. Future contract renewals are contingent upon the appropriation of funds by
the City Council in the annual budget for such Fiscal year.
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