10-24-2016 Council Packet - Laserfiche WebLink

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FUEL CONSORTIUM — OVERVIEW IMPORTANT NOTE TO CURRENT PARTICIPANTS: The current Contract with Mansfield Oil does not expire until January 31, 2017. Due to market conditions AND the solicitation process, the Fuel Core Team is exploring its pricing options for a new program that will begin on February 1, 2017. To achieve this, participants MUST submit their quantities for the Fixed Price Program NO LATER THAN OCTOBER 25, 2016. FIXED PRICE PROGRAM — The agencies participating in the Fixed Price Schedule are required to take 100% of its monthly quantity committed and the Contract Vendor is required to provide 100% of the monthly quantities contracted. The program will be for 12 months beginning February 1, 2017, through January 31, 2018. If the original purchaser is unable to take all of the monthly committed gallons, the Contract Vendor will be responsible for contacting other locations participating in the Fixed Price Contract to determine if they are able to take additional gallons. If the Contract Vendor is able to ship the unused gallons from the original participating purchaser to another participating agency, there will be no cost to the original participating agency. If the Spot Price is less than the Fixed Price, participants are not required to take more than the monthly amount they committed to. If the Contract Vendor is unable to ship the unused gallons from the original participating purchaser to another participating agency, they may sell the unused gallons on the open market and either debit or credit the difference in price back to the original participating purchaser based on the open market sell price. If the Contract Vendor is unable to provide all of the monthly committed gallons to a participating member by the due date and time, the participating member may purchase the product on the open market and charge the Contract Vendor for any actual additional costs incurred. SPOT PRICE PROGRAM. In addition to a Fixed Price program, we will include a Spot Price program for Participants to handle extra fuel needs over and above the committed quantities in the Fixed Price program. Only Participants in the Fixed Price program may use the Spot Prices offered by the Contract Vendor. Participants are not required to use the Spot Price program and may use other State Spot Price programs currently in place or may purchase their additional fuel needs independently. If the Contract Vendor is unable to provide the order quantity to a State agency or CPV member by the required due date and time, the State agency or CPV member may purchase the product on the open market and charge the Contract Vendor for any actual additional costs incurred. The signature below and/or submission of the Order Form certify that your Entity agrees to all terms, conditions and prices of any Contract agreement entered into on its behalf by the State of Minnesota which includes, but is not limited to, taking 100% of the monthly fuel quantities submitted for the Fixed Price Program on the Fuel Order Form. There is no requirement to take any product using the Spot Price Program. AGENCY NAME: ADDRESS: CONTACT PERSON: TITLE: PHONE NO.: FAX NO.: E-MAIL: AUTHORIZED SIGNATURE: RETURN ORDER FORM NO LATER THAN OCTOBER 25, 2016