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., ~ i <br />• <br />T0: <br />INTER-OFFICE MEMORANDUM <br />L. Morris - Street Super <br />APRIL 23, 1984 <br />FROM: J. Ray - Purchasing <br />SUBJECT: Sealed Bid ~~0040 - St <br />terials <br />~. <br />Advertised, sealed bids~~0040 for the annual asphalt products contract (Contract <br />4026-54-84) were opened and read in City Council Chambers on April 16, 1984 at <br />4 p.m. Bid invitations were mailed to seven area manufacturers and distributors <br />of asphalt based products with the following four returning bids; (1) Exxon Co. <br />U.S.A., (2) Wright Asphalt Products, (3) Gulf States Inc., and (4) Sheplers Equip. <br />Company. <br />Street materials were divided into four similar categories for pricing purposes. <br />Bid awards by category are shown below. <br />Low bid in Section I; Cut Back Asphalt, is Exxon Co., U.S.A. Prices averaged <br />between 20% and 31% lower than prices under our current contract with Gulf <br />States Inc. The only exception noted in Section I is Exxons' failure to supply <br />a bid on RC-2 in 55 gallon drums. Gulf States Inc. was the only vendor to quote <br />• Cut Back Asphalts in 55 gallon drums. <br />Low bid in Section II; Liquid Asphalt Cements, is also Exxon Co., U.S.A. Prices <br />for asphalt cements are 14% higher than pricing under our current contract. It <br />is important to note that the City of La Portes' current supplier has been unable <br />to supply AC-10 as needed and is currently in default on its' contract. <br />Only one bid was received on Catalytically Blown Asphalt Joint and Crack Filler <br />which was the same result as in 1982-83.Sheplers Inc., is now considered sole <br />source for this product. A price increase of $.O1 per pound (4%) was submitted <br />for full truckload quantities of this material. Gulf States Inc. was the only <br />Supplier to submit a bid for Emulsions this year. The City of La Porte did not <br />use any Emulsions during the 1982-83 fiscal year, but a contract for contingency <br />seems advisable. Prices on Emulsions averaged 8% higher than pricing under the <br />current contract. <br />I hereby recommend the City of La Porte sign an annual supply agreement with <br />the firms listed below for the following products: <br />(1) Exxon Co., U.S.A. - (a) Cut Back Asphalts in Bulk <br />(b) Liquid Asphalt Cements <br />On the basis of low bid meeting specifications <br />(2) Sheplers Equipment Co. - (a) Catalytically Blown Asphalt Joint and <br />Crack Filler <br />Sole source recommendation <br /> <br />