Title
Aviation Propane Contract
Action
Action:
A. Approve the purchase of propane, as authorized by the sole source exemption of G.S. 143-129 (e)(6),
B. Approve a contract with AmeriGas Propane L.P. dba Heritage Propane for the purchase of propane for the term of five years, and
C. Authorize the City Manager to renew the contract for up to two additional, one-year terms with possible price adjustments and to amend the contract consistent with the City’s business needs for which the contract was approved.
Body
Staff Resource(s):
Brent Cagle, Aviation
Jack Christine, Aviation
Sole Source Exemption
§ G.S. 143-129 (e) (6) provides that formal bidding requirements do not apply when:
- Performance or price competition are not available;
- A needed product is available from only one source or supply; or
- Standardization or compatibility is the overriding consideration.
§ Sole sourcing is necessary for this contract because competition is not available.
§ The City Council must approve purchases made under the sole source exception.
Explanation
§ The Aviation Department supplies propane to the Charlotte Fire Department (CFD) Aircraft Rescue and Fire Fighting stations that service the Airport - these are stations 17, 41, and occasionally 30.
§ CFD Aircraft Rescue and Fire Fighting staff uses the propane during training exercises as part of federal mandated requirements.
§ Annual expenditures under the contract are estimated to be $35,000.
Charlotte Business INClusion
This is a sole source contract and is exempt (Part A: Appendix 1.27 of the Charlotte Business INClusion Policy).
Fiscal Note
Funding: Aviation Operating Budget