Broken Arrow City Council
Meeting of: 11-7-2016
To: Mayor and City Council
From: General Services Department
Title:
title
Consideration, discussion, and possible approval of and authorization to enter into a fuel card agreement with Wright Express Incorporated for point of sale fueling services
End
Background:
Last year the Police Department had requested point of sale fueling services to improve the department’s efficiency. The Purchasing Division sought bids for this service and on April 7, 2015, the Council awarded the most advantageous bid for point of sale fueling services to Kum & Go. Since that time, a desire has been expressed to expand those fueling services beyond Kum & Go to other area retailers. As no contract exists, the City is free to select another service.
The City is a member of the National Joint Powers Alliance (NJPA) which is a network of 45,000 municipal and local government organizations, for the purpose of gaining purchasing power on a national level. Wright Express (WEX) has a contract with the NJPA for a variety of Government Fleet programs including point of sale fuel service.
Under their fuel card program:
• The normal $40 set-up fee and $2 monthly card fees are waived
• A 1.00% credit is applied to the user account for all retail transactions charged (as long as payment is made within the net 26 day payment terms)
• The WEX fuel card is accepted around the country including local retailers such as Kum & Go, Quik Trip, and Murphy
• A Fuel Site Mapping Mobile Application is offered - helps drivers locate the lowest price fuel station based on their current location
NJPA’s cooperative purchasing program offers competitively solicited purchasing contracts available for use by any government and non-profit entities through joint powers/cooperative purchasing laws in their respective jurisdictions. Oklahoma Statute Title 74, §74-1004, Agreements Authorized and the City’s Purchasing Manual Section V, Item d, Purchasing from State Contracts, authorizes the City and the Authority to enter into purchasing agreements solicited from purchasing consortiums such as the NJPA. Funds for fuel purchases made from the fuel cards are budgeted for by the using Department.
WEX will not require a contract, only a credit application for fuel card services. The WEX transaction data files and our existing data conversion software will not require any modifications to work with our existing IT system. Staff recommends approval and authorization to establish fuel card services with WEX Inc. pursuant to the contract awarded by the NJPA.
Cost: As determined by level of use
Prepared By: Lee Zirk, General Services Department
Reviewed By: Police Department
Fire Department
Information Technology Department
Finance Department
Assistant City Manager- Adminsitration
Legal Department
Approved By: Michael L. Spurgeon, City Manager
Attachments: WEX Application
WEX fueling locations
Recommendation:
Approve submittal of a credit application for point of sale fueling services with WEX Inc. and authorize its execution.