Resolution Number 21-06-15-05' RESOLUTION NO. 21-06-15-05
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN JUAN
CAPISTRANO, CALIFORNIA, AUTHORIZING THE CITY MANAGER OR
HIS DESIGNEE TO WAIVE THE FORMAL RFP/RFQ BID PROCESS AS A
NON COST-EFFECTIVE APPROACH, AND AUTHORIZING STAFF TO
PROCEED WITH AWARDING AN AGREEMENT FOR FUEL CARDS AND
MANAGEMENT SERVICES AS A PARTICIPATING ENTITY IN
ACCORDANCE WITH A COMPETITIVE PROCUREMENT CONDUCTED
BY THE STATE OF CALIFORNIA
WHEREAS, the City has contracted with State of California Inc. through US Bank
for fuel card and management services since 2011; and
WHEREAS, the contract between the State of California and US Bank expires on
June 30, 2021; and
WHEREAS, the ability to purchase fuel for the City fleet is a critical operational
function to provide necessary support for the City and community; and
WHEREAS, the State of California recently bid and awarded a contract for fuel
card and management services effective February 8, 2021 to WEX Bank; and
' WHEREAS, the City desires to become a participating entity on the competitive
procurement performed by the State of California, Contract No. MSA #5-19-99-19-01; and
WHEREAS, fuel purchased through the WEX Bank fuel card system will not be
subject to Federal taxes; and
WHEREAS, fuel purchased through the WEX Bank fuel card system will be
invoiced to the City at current retail pricing with no upcharge; and
WHEREAS, Section 3-4.304 of the San Juan Capistrano Municipal Code provides
that services contracts over $25,000 are subject to a formal RFP/RFQ procurement
process; and
WHEREAS, Section 3-4.306(e)(3) of the San Juan Capistrano Municipal Code
provides an exception to the formal RFP/RFQ procurement process where the process is
deemed not to be the most cost-effective approach; and
WHEREAS, undergoing a formal RFP/RFQ procurement process for fuel card and
management services would not be the most cost-effective approach given the City's
immediate need to have access to a reliable online management system for fuel required
' by the City fleet, the cost benefit realized by the ability for Federal tax exempt status on
fuel, and the ability to rely on a competitive procurement recently performed by the State
of California; and
6/15/2021
WHEREAS, WEX Bank has been thoroughly vetted by the State of California in its '
ability to provide fleet card services including an online fuel management system to assist
the State and other agencies to source and purchase fuel in a secure, reliable and
economical manner.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SAN JUAN
CAPISTRANO, CALIFORNIA, HEREBY RESOLVES, FINDS AND DETERMINES AS
FOLLOWS:
1. That the foregoing recitals are true and correct and incorporated herein by this
reference.
2. That undergoing a formal RFP/RFQ procurement process at this time for fuel card
and management services would not be the most cost-effective approach and is
therefore waived for this procurement.
3. That the City Manager or his designee is hereby authorized to execute all
documents necessary to participate in the State of California's contract with WEX
Bank and all subsequent applications/agreements of the WEX Bank fuel card and
management services program.
PASSED, APPROVED, and ADOPTED on the 15'" da�� �02 '
A JOHN TAYLOR, MAYOR
ATTESTi T A I
MARIANORRIS� CITY
2 6/15/2021
' STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.
CITY OF SAN JUAN CAPISTRANO )
I, Maria Morris, appointed City Clerk of the City of San Juan Capistrano, do hereby certify
that the foregoing Resolution No. 21-06-15-05 was duly adopted by the
City Council of the City of San Juan Capistrano at a Regular meeting thereof, held the
15th day of June 2021, by the following vote:
AYES: OUNCIL MEMBERS: Reeve, Hart, Bourne, Farias and Mayor Taylor
NOES: O�N IL MEMBERS: None
ABSENT: qQUN0L MEMBERS: None
U Vw
MARIA MORRIS, CITY
3 6/15/2021