Title/Name/Summary
2020-2021 Road Salt Joint Purchasing Requisition - Renewal
History
For several 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 renewal of the option to participate in this program for next winter’s road salt (2020-2021) allocation. In doing so staff must complete and submit an online survey indicating the anticipated tonnage for our 2020-2021 road salt requirements. CMS competitively bid staff’s salt request last year, with this year being an optional one-time renewal. Being the second year of the contract, the vendor, Compass Minerals America is limited to a maximum of 10% price increase.
The salt allocation request for the previous 2019-2020 season was 4,800 tons. The Village of Orland Park’s salt price is currently $78.86 per ton. This salt purchase price expires in September of 2020, with the new price becoming effective at the beginning of October 2020. The Village’s salt barn will be well-stocked to begin the 2020-2021 snow season; therefore, it is staff’s recommendation to minimally decrease this year’s allocation request to 4,200 tons. Per the CMS agreement, the Village is required to purchase a minimum of 80% of this request (3,360 tons). The Village also has the ability to purchase up to 120% of this request (5,040 tons). Upon receipt of the updated pricing later this year, staff will return to Committee and Board for approval of the vendor price and funding required for the 2020-2021 salt purchase.
Financial Impact
Funding for road salt is included in the annual budget process in account 010-5002-462600.
Recommended Action/Motion
I move to approve authorizing the Village Manager to renew and execute the Illinois Joint Purchasing Requisition with the Illinois Department of Central Management Services for road sal...
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