Title
Consider approving Resolution No. 2025-134 authorizing an agreement in an amount not to exceed $100,000 with WEX Bank through the Sourcewell cooperative purchasing program for fleet fuel purchases; and take appropriate action.
Body
REQUESTOR:
Fleet Management
BACKGROUND:
The City utilizes WEX Bank fuel credit cards to provide a flexible and essential fueling option for various operational needs. These cards are primarily intended for:
• Emergency Use: For vehicles responding to incidents where City fueling sites are not accessible.
• Out-of-Town Travel: For staff conducting official City business outside of our immediate area.
• Fire Department Operations: To fuel fire apparatus and support vehicles on the east side of the city, where there is no City-operated diesel fueling site.
DISCUSSION:
In October, a purchase order (PO) was issued to WEX Bank for $48,000, an amount projected to cover these specific uses for the entire fiscal year. However, the City is currently undertaking a significant project to replace the primary fuel site at the Justice Center. This project has experienced unforeseen but necessary delays, which have extended the construction timeline. As a result, the Police Department, one of the City's largest fuel consumers, has had to rely exclusively on the WEX Bank fuel cards as its primary source for refueling its patrol fleet. This temporary increase in reliance on the fuel cards has led to the depletion of the original PO funds. To ensure that the Police Department, Fire Department, and other essential services maintain continuity of operations, an increase in the PO is now critical.
Fleet Management is requesting approval to increase the limit to cover key operational expenses. The funds are already allocated in the approved FY 2024-25 Budget. This request does not represent a new or unbudgeted expense. Rather, it reflects a temporary shift to use the budgeted commodity due to the ongoing capital improvement project at the Justice Center fuel site. Since the funds required to meet this critical function of the City exceed the City Manager’s approval limit, it is being presented to the City Council for review and approval. Approval will ensure the continuity of fuel services for all City departments for the remainder of the fiscal year.
FISCAL IMPACT:
The requested action is to increase the blanket PO with WEX Bank by $52,000.
• Original PO Amount: $48,000
• Requested Increase: $52,000
• Proposed New PO Total: $100,000
DISTRICT:
Citywide
POSSIBLE COUNCIL ACTION:
1. I move to approve Resolution No. 2025-134 as presented.
2. I move to approve Resolution No. 2025-134 with modifications.
3. I move to table the issue for further study or take no action.
ATTACHMENT(S):
1. Resolution No. 2025-134
2. Exhibit A