Label
DPS ASSESSED SERVICES $1,210,000
Streets, Bridges & Harbor
Jeremy Mikolajczyk (X1537)
Paul M. Rasmusson (X7868)
Title
Appropriating additional funds in the amount of $1,210,000 to the Division of Streets, Bridges & Harbor 2018 Assessed Operating Budget for snow and ice control; authorizing the expenditure of funds from the Assessed Services Fund; authorizing the Mayor to enter into a contract for the purchase of bulk salt; waiving the competitive bid requirements of TMC Chapter 187; and declaring an emergency.
Body
SUMMARY & BACKGROUND:
The City of Toledo Division of Streets, Bridges & Harbor needs to supplement the 2018 Operating Budget to provide additional funding necessary for snow and ice control and for the purchase of de-icing salt for the upcoming winter season. The City of Toledo has bid out bulk salt for the Division on three occasions in 2018. One bid was received and accepted for an amount of 4,000 tons at $84 per ton. This 4,000 tons is the maximum that the bidder would sell to the City of Toledo. The City of Toledo currently has 24,000 tons of salt on hand. During the 2017/2018 winter, the Division used 42,000 tons of salt. This additional appropriation would allow the City of Toledo to enter into contract and purchase an additional 20,000 tons of salt at $93 a ton from Mid American Salt, LLC which would give the city 48,000 tons for the 2018/2019 snow season. Bulk salt is in very high demand in the Midwestern states, thus the bulk price with increased shipping costs has driven the price higher and actually obtaining salt has become a challenge.
The current budget has $650,000 for salt purchase after the initial 4000 ton purchase from Detroit Salt with approximately $40,000 remaining for purchase of brine additive chemicals. Total purchase of 20,000 tons of salt from Mid American Salt, LLC will be $1,860,000 delivered to Midwest Terminals of Toledo.
Summary
NOW, THEREFORE, Be it ordained by the Council of the City of Toledo:
SECTION 1. That the 2018 Assessed Operating Budget for the Division of Streets, Bridges & Harbor as set forth in Ordinance 508-17 be amended by appropriating an additional $1,210,000 from future assessment collection to the account codes as follows:
Fund Description Amount
3050-23100-523480-2422001STDSTD Bulk Chem. (Salt) $1,210,000
SECTION 2. That the balance of Ordinance 508-17 remains in full force and effect.
SECTION 3. That the expenditure of $1,860,000 is authorized from the Special Assessment Fund Account Code 3050-23100-523480-2422001STDSTD for the purchase of bulk salt.
SECTION 4. That the Mayor is authorized to enter into a contract with Mid American Salt, LLC for the purchase of bulk salt.
SECTION 5. That this Council finds it is in the best interest of the city to waive the competitive bidding requirements of TMC Chapter 187 for the reason that previous attempts to bid this purchase were unsuccessful as no bidder could supply tons sufficient for snow and ice control operations this season.
SECTION 6. That the Finance Director is authorized to draw warrant or warrants against the proper accounting codes in payment of the obligations hereinabove authorized upon presentation of the proper voucher or vouchers.
SECTION 7. That this Ordinance is declared to be an emergency measure and shall take effect and be in force immediately from and after its passage. The reason for the emergency lies in the fact that this Ordinance is necessary for the immediate preservation of the public peace, health, safety and property and for the further reason that adequate snow and ice control be maintained for the safety of the traveling public.
Vote on emergency clause: yeas_____, nays _____.
Passed: _________________, as an emergency measure; yeas _____, nay _____.
Attest: _______________________ _______________________________
Clerk of Council President of Council
Approved: ____________________ _______________________________
Mayor
I hereby certify that the above is a true and correct copy of an Ordinance passed by Council ____________________________.
Attest: _______________________________
Clerk of Council