BY COUNCILOR STEWART:
RESOLVED, that Inter-City Oil Company, Inc., be and hereby is awarded a contract for furnishing and delivering fuel as needed during the next 12 months for the various departments/divisions, in accordance with specifications at an estimated amount of $50,000, terms net 30, FOB destination, payable out of various funds, departments/agencies, organizations, objects.
STATEMENT OF PURPOSE: This resolution will authorize the purchase of approximately 25,000 gallons of fuels (heating, diesel, gasoline, etc.)as needed during the next 12 months for various departments/divisions from Inter-City Oil Company, Inc., for $50,000 to be paid from various funds. This is the first year of a potential four-year contract which is based upon a fixed constant of $0.15 per gallon for delivered fuels. The bid constant is added to the Duluth rack average price plus applicable taxes. The previous contract was with Inter-City Oil and included a fixed constant of $0.05 per gallon for delivered fuels. Bid No. 05-0443A