TO: Mayor and Commissioners
FROM: Missie Barletto, Public Works Director
THROUGH: Terrence R. Moore, ICMA-CM
DATE: November 18, 2025
...Title
APPROVAL OF RESOLUTION NO. 215-25 TO AWARD AN AGREEMENT WITH JF ACQUISITION, LLC DBA JF PETROLEUM GROUP FOR ABOVEGROUND FUEL AND FLUID STORAGE WITH RELATED HARDWARE, SOFTWARE, AND SERVICES UTILIZING SOURCEWELL REQUEST FOR PROPOSAL (RFP) #081524 IN THE AMOUNT OF $175,000.00
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Recommended Action:
Recommendation
Motion to approve Resolution No. 215-25 to award an agreement with JF Acquisition, LLC dba JF Petroleum Group for Aboveground Fuel & Fluid Storage with Related Hardware, Software and Services utilizing Sourcewell RFP #081524 in the amount of $175,000.00; authorizing the City Manager to execute any amendments thereto and take any and all actions necessary to effectuate the intent of this resolution; providing an effective date; and for other purposes.
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Background:
The Fleet Maintenance Division of the Public Works Department is responsible for the operation and maintenance of two (2) fuel dispensing sites located at the Swinton Operations Complex (SOC) and the Police Department (PD). Additionally, the City owns above ground fuel tanks at other locations, such as the Delray Beach Municipal Golf Course (Golf Course), that require maintenance and repairs, as needed.
On June 27, 2024, Sourcewell, a State of Minnesota local government agency and service cooperative that offers cooperative procurement solutions to government entities, issued RFP #081524 for Aboveground Fuel & Fluid Storage with Related Hardware, Software, and Services.
On November 18, 2024, Sourcewell entered into Agreement #081524-JFA with JF Acquisition, LLC dba JF Petroleum Group (JF Petroleum). The initial term is valid through November 18, 2028. The contract may be extended for three (3) one-year periods upon request of Sourcewell and with written agreement by the vendor.
Fleet Maintenance currently manages Agreement No. P2024-038 with JF Petroleum which expires December 7, 2025. Under this agreement, JF Petroleum has completed two (2) Capital Improvement Projects to include the replacement of the fuel dispensers at the SOC and PD as well as removal of an existing fuel tank and installation of an above-ground tank at the Golf Course. JF Petroleum has also performed routine maintenance and repair services under this agreement. Staff is requesting approval of Resolution No. 215-25 to award an agreement with JF Petroleum.
The requested agreement value is as follows:
|
Agreement Value |
|
|
|
Initial Term |
Upon execution - November 18, 2028 |
$100,000.00 |
|
Renewal Term #1 |
November 19, 2028 - November 18, 2029 |
$25,000.00 |
|
Renewal Term #2 |
November 19, 2029 - November 18, 2030 |
$25,000.00 |
|
Final Renewal |
November 19, 2030 - November 18, 2031 |
$25,000.00 |
|
TOTAL |
$175,000.00 |
The City, at its sole discretion, reserves the right to terminate this agreement with or without cause immediately upon providing written notice to the contractor. Upon receipt of such notice, the contractor shall not incur any additional costs under the agreement. The City shall be liable only for reasonable costs incurred by the contractor prior to the date of the notice of termination. The City shall be the sole judge of “reasonable costs.”
This motion is in accordance with the Code of Ordinances Chapter 36, Commission Approval Required; and Purchasing Policies and Procedures, Accessing Contracts from Other Government Agencies and Not-for-Profit Organizations.
Attachments:
1. Resolution No. 215-25
2. Agreement P2026-005
3. Exhibit A - Price Proposal Summary
4. Exhibit B - Insurance Requirements
5. Legal Review Checklist
6. Sourcewell Contract No. 081524-JFA
7. Sourcewell RFP No. 081524
City Attorney Review:
Approved as to form and legal sufficiency.
Funding Source:
Funding is available from 501-43-000-549.52-51(Outside Service) and 501-43-000-549.52-52 (Outside Parts).