Title
2016-2017 Road Salt Joint Purchasing Requisition - Renewal
History
For a number of years, the Village of Orland Park has participated in the State Joint Purchasing Program of the Illinois Department of Central Management Services (CMS) in an effort to secure the best price for road salt. At this time of the year, the State of Illinois requires us to renew our option to participate in this program for next winter’s road salt (2016-2017) allocation. In doing so, we must complete and submit the Illinois Joint Purchasing Requisition indicating both the tonnage and amount anticipated to be budgeted for our 2016-2017 road salt requirements. CMS competitively bid our salt request last year, with this year being an optional one time renewal. Being the second year of the contract, our vendor, Morton salt can only raise our price a maximum of 10%.
The salt allocation request for the previous 2015-2016 season was 4,500 tons. The Village of Orland Park’s salt price is currently $59.71 per ton. This salt purchase price expires in August of 2016, with the new price becoming effective at the end of August 2016. The Village’s salt barn is currently near capacity and well stocked to handle the beginning of the 2016-2017 snow season; therefore, it is staff’s recommendation to keep this year’s allocation request at 4,500 tons. Per the CMS agreement, the Village is required to purchase a minimum of 80% of this request (3,600 tons). The Village also has the ability to purchase up to 120% of this request (5,400 tons). Upon receipt of the updated pricing, we will return to Committee and Board for approval of the vendor and funding required for our 2016-2017 salt purchase.
Yearly, the Illinois Department of Central Management Services sends their Joint Purchasing Requisition close to the required deadline submission date necessitating last minute actions in order to meet this deadline. The renewal agreement is required to be executed by April 1, 2016. To ensure tha...
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