Broward County Commission Regular Meeting
Director's Name: Coree Cuff Lonergan
Department: Transportation
Information
Requested Action
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MOTION TO APPROVE threshold increases of $56,575 for the current term (thru April 5, 2024) and $51,800 for each of the two remaining one-year renewals for a potential five-year estimated increase from $500,000 to $660,175 over the five-year open-end contract with WEX Bank, Inc. for the Fleet Fuel Card Services Contract No. TRN2122332G1.
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Why Action is Necessary
In accordance with the Broward County Procurement Code, Section 21.47, the Board is required to approve purchases with a value of more than $500,000.
What Action Accomplishes
Provides an increase in the current contract threshold for the Fleet Fuel Card Contract TRN2122332G1 in order to meet and sustain County Fleet vehicle operations, travel fuel requirements, and emergency fuel programs.
Goal Related Icon(s)
☐County Commission
☐Go Green
☐MAP Broward
Previous Action Taken
May 18, 2021, Item No. 29
Summary Explanation/Background
THE TRANSPORTATION DEPARTMENT AND THE PURCHASING DIVISION RECOMMEND APPROVAL
The Transportation Department’s Fleet Service Division is requesting an increase in the current contract threshold for the Fuel Card Services Contract No. TRN2124222G1 in the amount of $56,575 and an increase in the remaining two one-year renewal options threshold amounts from $100,000 to $151,800. The increases will result in an increase of the overall contract threshold of $160,175 based on the remaining two one-year renewal options totaling $660,175 for the five-year term.
This contract threshold increase request is due to unprecedented escalation of fuel prices, at times 98% higher than anticipated averages within the initial three one-year terms of the contract and is necessary to ensure adequate threshold is available for the procurement of unleaded gas and diesel fuel to sustain County Fleet vehicle operations, travel card, and emergency fuel programs.
Due to delays in the production, delivery, and a shortage of available light-duty electric passenger vehicles from automobile manufacturers for Broward County’s fleet, fuel usage has not decreased as anticipated.
As background, on May 18, 2021, Item No. 29, the Board awarded an open-end contract to WEX Bank, for Contract No. TRN21223332G1, Fuel Card Services, for the Transportation Department/Fleet Services Division, under the State of Florida Department of Management Services (DMD) Alternate Contract Source No. 78181701-21-NASPO-ACS, retroactive to April 6, 2021 and ending on December 31, 2025 in the annual estimated amount of $100,000, for a total of five-year potential amount of $500,000. The purpose of this contract is to provide for the purchase of vehicle and equipment fuel from various fuel retail stations to facilitate the efficient operation of agencies, travel fuel requirements, and fuel during emergencies at negotiated rates.
Source of Additional Information
Coree Cuff Lonergan, Director, Transportation Department (954) 357-8361.
Fiscal Impact
Fiscal Impact/Cost Summary
Each requirement processed against the open-end contract will be funded by the appropriate source at the time of release