Exhibit 1 - Agenda Information Sheet - Amendment 1City of Denton
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AGENDA INFORMATION SHEET
DEPARTMENT: Procurement
ACM: Cassey Ogden
DATE: January 20, 2024
SUBJECT
Consider adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation,
authorizing the approval of a first amendment to a contract between the City of Denton and U.S. Venture,
Inc. f/k/a Martin Eagle Oil Company, Inc., amending the contract approved by City Council on January 28,
2020, in the not-to-exceed amount of $16,000,000.00; said first amendment to continue to purchase motor
vehicle fuels for use by all City departments; providing for the expenditure of funds therefor; and providing
an effective date (File 7251 – providing for an additional first amendment expenditure amount not-to-
exceed $4,000,000.00, with the total contract amount not-to-exceed $20,000,000.00).
STRATEGIC ALIGNMENT
This action supports Key Focus Area: Enhance Infrastructure and Mobility.
INFORMATION/BACKGROUND
In January 2020, Martin Eagle Oil Company, Inc. was awarded a contract for the bulk supply of a variety
of motor vehicle fuels including diesel, bio-diesel, regular unleaded gasoline, and E85 ethanal as needed by
all City departments. Over six hundred City vehicles receive fuel from Fleet Services. The average cost for
fuel is $247,000 per month. The original City of Denton contract was anticipated to cover fuel expenditures
until the current contract expires on January 27, 2025. This first amendment to the contract is expected to
cover fuel expenditures through the current contract expiration date of January 27, 2025. The new
solicitation method will be dependent on the renewal terms of the interlocal agreement with the City of Fort
Worth and will be in place by January 27, 2025.
In March 2020, Martin Eagle Oil Company, Inc. assigned and transferred all of their contracts to U.S.
Venture, Inc.
Pricing obtained through the City of Fort Worth Contract 53316, has been competitively bid and meets the
statutory requirements of Texas Local Government Code 271.102.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On September 12, 2006, City Council approved the interlocal agreement with the City of Fort Worth
(Ordinance 2006-240).
City Hall
215 E. McKinney Street
Denton, Texas
www.cityofdenton.com
On January 28, 2020, City Council approved the vehicle fuel contract with U.S. Venture, Inc. (formerly
Martin Eagle Oil, Inc.) (Ordinance 20-199).
RECOMMENDATION
Award Amendment No. 1 with Martin Eagle Oil Company, Inc. n/k/a U.S. Venture, Inc., for the purchase
of motor vehicle fuels for use by all City departments, in a not-to-exceed amount of $4,000,000, for a total
amended contract amount of $20,000,000.
PRINCIPAL PLACE OF BUSINESS
U.S. Venture, Inc.
Denton, TX
ESTIMATED SCHEDULE OF PROJECT
The City of Fort Worth contract expires on December 31, 2024. Our contract expires on January 28, 2025.
FISCAL INFORMATION
These services will be funded from Fleet Services Operating budget, account 820100.6408 (regular
unleaded), 820100.6418 (diesel), and 820100.6417 (bio-diesel). Requisitions will be entered into the
Purchasing software system on an as-needed basis. The total amended amount of this contract is
$20,000,000.
EXHIBITS
Exhibit 1: Agenda Information Sheet
Exhibit 2: Original Ordinance
Exhibit 3: Amendment 1 Ordinance
Respectfully submitted:
Lori Hewell, 940-349-7100
Purchasing Manager
For information concerning this acquisition, contact: Tom Gramer, 940-349-7467.
Legal point of contact: Marcella Lunn at 940-349-8333.