The Engineering Department-Facilities Division recommends approval of an expenditure in the amount of $3,097,906 for construction services from Spatco Energy Solutions, LLC for the High Point Fuel Station project. The project involves the construction of a new fuel station at the Highpoint Parks Maintenance Facility.
During increased storm activity, fuel stations often see a surge in demand and potential disruptions. Damage to equipment, power outages and damage to roads disrupt fuel distribution networks leading to potential fuel shortages. In order to limit City of Plano disruptions of emergency responsiveness, the new fuel station is planned to serve City vehicles.
The city initially sought bids from multiple vendors through cooperative purchasing contracts, however, no responsive offers were received. In coordination with the project consultant, staff re-evaluated the procurement approach to identify a qualified contractor capable of delivering the required construction services at a competitive price. Following this assessment, staff formally requested a proposal from Spatco Energy Solutions, LLC under their existing cooperative contract with Sourcewell. The final amount was determined to be $434,000 below the Engineer’s Opinion of Probable Cost.
Not approving this item would leave the city without a dedicated, city-managed fuel reserve necessary to support essential operations in an emergency.
A related item will be presented separately on a future council agenda (Item No. 2024-0008-OR - Fuel Management System), which will provide the technology platform for fuel dispensing authorization and vehicle data tracking.
The City is authorized to purchase from a cooperative purchasing program with another local government or a local cooperative organization pursuant to Chapter 271 Subchapter F of the Texas Local Government Code and by doing so satisfies any State Law requiring local governments to seek competitive bids for items. (Sourcewell # 081524-TAN, City of Plano Internal No. 2025-0135-O)