Item 1.7 - Approval of Second Amendment; Sale & Purchase of Goods & Materials; The SoCo GroupG1S•j OF PO[Y 9Y
C^IN ,THE Co
City of Poway
COUNCIL AGENDA REPORT
APPROVED
0
APPROVED AS AMENDED
❑
(SEE MINUTES)
DENIED
❑
REMOVED
❑
CONTINUED
RESOLUTION NO.
DATE: January 10, 2017
TO: Honorable Mayor and Members of the City Council
FROM: Troy Bankston, P.E., Director of Public Works
CONTACT: Eric Heidemann, Public Works Operons Manager
eheidemann @ Poway.org
SUBJECT: Approval of Second Amendment to the Contract for the
Sale and Purchase of Goods and Materials with The
SoCo Group, Inc.
Summary•
On May 21, 2013, the City Council awarded the contract for sale and purchase of motor
vehicle fuel to The SoCo Group, Inc. This agreement was established through the City
of San Diego's cooperative purchasing program and will be terminated effective January
22, 2017. The City of San Diego processed an amendment that extends the term of
their contract with The SoCo Group, Inc. to June 30, 2018. It is recommended the City
of Poway also extend the term of their contract with The SoCo Group, Inc. for fuel
services to June 30, 2018.
Recommended Action:
It is recommended that the City Council approve the Second Amendment to the
Contract for the Sale and Purchase of Goods and Materials with The SoCo Group, Inc.,
that extends the contract to June 30, 2018, and authorize the City Manager to execute
any necessary documents.
Discussion:
The SoCo Group, Inc. (The SoCo Group) was awarded the contract for the purchase of
motor vehicle fuel on May 21, 2013, through a cooperative fuel purchasing program
through the City of San Diego. The City of San Diego recently processed an
amendment to extend the term of their contract with The SoCo Group that ends June
30, 2018. As a large city, San Diego realizes an economy of scale for their bids. They
allow other agencies to participate in their cooperative purchasing program and contract
for these services. This provides an opportunity for the City of Poway to continue to
utilize pricing opportunities obtained through a competitive procurement process. A
contract amendment with The SoCo Group will allow the City of Poway to continue to
participate in the purchasing group and ensures the most favorable pricing for motor
vehicle fuel and delivery.
1 of 2 January 10, 2017, Item # t•-(
Approval of Second Amendment with The SoCo Group, Inc.
January 10, 2017
Page 2
Environmental Review:
This action is not subject to California Environmental Quality Act review.
Fiscal Impact:
Sufficient funds in the amount of $250,231 are available with the FY 201.5-17 biennium
budget in account Vehicle Operations (0413-3120) for purchase of motor vehicle fuel.
Public Notification:
A copy of this report was sent to The SoCo Group, Inc.
Reviewed/Approved By: Reviewed By:
Wendy Kaserman
Assistant City Manager
Morgan Foley
City Attorney
Approved By:
Tina M. White
City Manager
2 of 2 January 10, 2017, Item # 1.1