2006-170
~
ORDINANCE NO. 2tZZ:r/7iJ _
AN ORDINANCE AWARDING AN ANNUAL CONTRACT FOR THE PURCHASE OF THE
ANNUAL SUPPLY OF LIQUID PETROLEUM GAS FOR THE CITY OF DENTON, AS
A WARDED BY THE STATE OF TEXAS BUILDING AND PROCUREMENT COMMISSION;
PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFOR; AND PROVIDING AN
EFFECTIVE DATE (FILE 3524 TO NORTHWEST PROPANE GAS COMPANY IN THE
ESTIMATED AMOUNT OF $100,000; MOUNT BEL VIEU POSTED PRICE + $.35/GALLON).
WHEREAS, pursuant to Resolution 92-019, the State Purchasing Building and Procurement
Commission has solicited, received and tabulated competitive bids for the purchase of necessary
materials, equipment, supplies or services in accordance with the procedures of state law on behalf of
the City of Denton; and
WHEREAS, the City Manager or a designated employee has reviewed and recommended that
the herein described materials, equipment, supplies or services can be purchased by the City through
the Building and Procurement programs at less cost than the City would expend if bidding these
items individually; and
WHEREAS, the City Council has provided in the City Budget for the appropriation of funds
to be used for the purchase of the materials, equipment, supplies or services approved and accepted
herein; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION I. The numbered items in the following numbered purchase order for materials,
equipment, supplies, or services, shown in the "File Number" listed hereon, and on file in the office
of the Purchasing Agent, are hereby approved:
FILE
NUMBER
ESTIMATED
VENDOR AMOUNT
3524
Northwest Propane Gas Company, Inc. $100,000
Mt. Belvieu Posted Price +$.35/gal
SECTION 2. By the acceptance and approval of the above numbered items set forth in File
3524, the City accepts the offer ofthe persons submitting the bids to the Building and Procurement
Commission for such items and agrees to purchase the materials, equipment, supplies or services in
accordance with the terms, conditions, specifications, standards, quantities and for the specified sums
contained in the bid documents and related documents filed with the Building and Procurement
Commission, and the purchase orders issued by the City.
SECTION 3. Should the City and persons submitting approved and accepted items set forth
in the attached purchase orders wish to enter into a formal written agreement as a result of the City's
ratification of bids awarded by the Building and Procurement Commission, the City Manager or his
designated representative is hereby authorized to execute the written contract; provided that the
written contract is in accordance with the terms, conditions, specifications and standards contained in
the Proposal submitted to the Building and Procurement Commission, quantities and specified sums
contained in the City's purchase orders, and related documents herein approved and accepted.
SECTION 4. By the acceptance and approval ofthe above enumerated bids, the City Council
hereby authorizes the expenditure of funds therefor in the amount and in accordance with the
approved bids.
SECTION 5. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this
20t!?
day of .J"iLi'lL--
,2006.
.mrnJ
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY~~'''\~~ H:. w
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER... CITY ATTORNEY
BY:
3-0RD-Filc 3524
. ^
I
Attachment 1
115S1 HARRY HINES BLVD.' DALLAS, TEXAS 75229-2296' 972-247-6121, WATS 800-27Hl121, FAX 972-241-2555
NORTHWEST PROPANE GAS COMPANY, INC.
PROPOSED
PROPANE REFUELING STATION
for
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CITY OF DENTON
804 TEXAS STREET
DENTON, TEXAS 76201
DATE: MAY 15, 2006
PROPANE loP, GAS L'p,G, CARBURETION FLEET SERVICE
INDUSTRIALlDOMESTIC TRANSPORTATION AND STORAGE
We appreciate the opportunity to present this proposaL If there are any questions or items that
are not sufficiently covered, please contact the undersigned. This agreement shall be for a
period of two years.
DescriDtioD
Price / Unit
T otall Price
2000 gallon propane dispensing unit
(annual lease)
$
1.00
$
1.00
Includes the installation of a 2000 wc propane tank, tank monitor, pump, and dispensing unit.
Propane fuel pricing will be on a per gallon basis, subject to escalation/de-escalation. Pricing are
based upon the Butane Propane Weekly Newsletter. Pricing will remain in effect from Friday thru
Thursday according to the following schedule.
Current pricing:
Mount Belvieu, Texas posting, per Texas contract 405-Al
price effective 05/15/06, vendor # 60694
$
1.08888
Northwest Propane margins, including the following:
Refinery fees
Delivery/freight cost
Propane Education Research Council
Texas Alternative Fuels Education Research Council
$
.35000
TOTAL PRICE
$
1.43888
Items to be furnished by the City of Denton:
Permits
Electrical supply to pump (220V 30amp)
(per National Electrical Code)
Crash Protection
Fire Extinguisher
All site preparation not specifically mentioned
Propane pulser / Petro Vend 1 Phoenix keypad (Optional)
Should you have any questions, or need additional information, please feel free to contact us.
4