Purchase order 23000012, in the amount of $800,000 was issued to Frazier Oil Company for Fiscal Year 2022/23 Fuel for the Municipal Services Department.

Staff is providing notification to the City Council of this purchase.

On July 1st a blanket purchase order was issued for fuel by the Municipal Services Department. This annual purchase order provides fuel for Municipal Services and other general fund vehicles and trucks. This initial purchase order reserves a budgeted amount for fuel. As truckloads of fuel are requested by Municipal Services money is withdrawn from that purchase order to pay the fuel company

This expenditure was done through the Kansas City, MO cooperative contract for fuel that the City of Independence has been a part of since 2004. Competitive bidding is not required where supplies, materials, equipment, contractual labor, insurance and services are purchased through bids established by a government purchasing entity or cooperative. The cooperative bids used will have been established pursuant to RSMo.70.220, or generally accepted governmental purchasing practices through the competitive bidding process. Purchases by this method shall be exempt from Section 8.06.003 of the Code and shall not require formal Council approval, but will be reported in accordance with Section 8.06.003.

The fiscal impact to the City is $800,000. Funding was included in the fiscal year 2022/23 adopted budget, account number E (5121-5316) Motor Vehicle Fuels.