Heating Fuel for Municipal Facilities

This contract awards the Municipality of Skagway the right to receive low‑sulfur #1 and #2 heating fuel on a “keep‑full” basis for a variety of municipal facilities, with pricing tied to the weekly Skagway rack price plus a fixed per‑gallon delivery and handling charge. The agreement is a term contract lasting through the end of 2025, with optional extensions. The winning vendor, Klondike Fuels, must meet extensive insurance, licensing, spill‑prevention, and record‑keeping requirements, and all bids were sealed and submitted by the July 11 2023 deadline. • Scope: Supply of #1 and #2 heating oil to multiple municipal sites (e.g., incinerator, public works equipment tanks, wastewater treatment plant, fire department, etc.) on a “keep‑full” delivery schedule. • Pricing: Weekly rack price plus $0.0096 per gallon delivery & handling fee; price adjusts weekly. • Term: Effective July 20 2023, expiring December 31 2025, with up to three optional two‑year renewals. • Requirements: Insurance (General Liability $2 M, Pollution Liability $2 M/$5 M), background check, non‑collusion declaration, and compliance with Alaska environmental regulations.