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File #: 19-371    Version: 1
Type: Consent Calendar Status: Passed
File created: 3/12/2019 In control: City Council/Public Financing Authority
On agenda: 4/1/2019 Final action: 4/1/2019
Title: Award and authorize execution of a Three-Year Contract with Pinnacle Petroleum Inc. for Bulk Fuel Service - Jet-A Aviation Fuel in an amount not to exceed $300,000 per year
Attachments: 1. Att#1 Pinnacle Agreement w Insurance
REQUEST FOR CITY COUNCIL ACTION

SUBMITTED TO: Honorable Mayor and City Council Members

SUBMITTED BY: Fred A. Wilson, Executive Director

PREPARED BY: Travis K. Hopkins, PE, Director of Public Works

Subject:
title
Award and authorize execution of a Three-Year Contract with Pinnacle Petroleum Inc. for Bulk Fuel Service - Jet-A Aviation Fuel in an amount not to exceed $300,000 per year
body

Statement of Issue:
In September of 2018, the City received bids for Bulk Fuel Services for Jet-A aviation fuel. City Council action is requested to award a three-year contract to the lowest responsive and responsible bidder, Pinnacle Petroleum, Inc. in an amount not to exceed $300,000 annually and $900,000 over the full three-year term.

Financial Impact:
Funds are available in Non-Departmental account 10040101.63495 for Jet Aviation fuel purchases.

Recommended Action:
recommendation
Approve and authorize the Mayor and City Clerk to execute the "Service Agreement Between the City of Huntington Beach and Pinnacle Petroleum, Inc. for Bulk Fuel Services - Jet-A Aviation Fuel" in an amount not to exceed $300,000 per year for three years.
end

Alternative Action(s):
Do not approve the contract award and direct staff to proceed differently.

Analysis:
The Public Works Department manages the maintenance and restocking of the city's fuel infrastructure, including the fuel island and storage tank at the Police Heliport that is used to fuel the Police helicopters. Police air support helicopters require approximately 53,000 gallons of Jet-A aviation fuel annually. Public Works fleet maintenance staff work with the Police Department Air Support Division and the wholesale fuel broker to place timely fuel orders as needed and to ensure sufficient fuel inventory for the Police helicopter program.

The city's former contracted fuel broker resigned their contract abruptly and without notice in early 2018. Since that time, staff has been utilizing interim broker services pending the o...

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