Title
Resolution to Increase the Purchase Order with The Detroit Salt Company, L.C. for the Purchase of Seasonal Backup Supply Ice Control Salt through the Michigan Delivering Extended Agreements Locally (MiDEAL) ($65,972.00 increase, Total $281,212.00)
Memorandum
Attached for your approval is a resolution authorizing an increase to the existing purchase order for bulk ice control salt to control snow and ice accumulations on City streets during the winter events.
Annually, the State of Michigan solicits a state-wide bid for bulk ice control salt, allowing those who participate to receive advantageous pricing. The bid seeks pricing for early fill and seasonal backup supply of ice control salt. This season Public Works only sought pricing for seasonal backup supply. The Detroit Salt Company, L.C. was the low bidder for seasonal backup supply.
As a result of the City using the MiDEAL bid, the quantities are guaranteed. The contract allows the City to purchase up to 130% of the contracted quantity or only 80% of the contracted quantity, as conditions warrant.
The 2025-2026 Winter Season has produced more winter events than in recent seasons, this has resulted in the need to purchase the contractual 30% (1,200 Tons) overage of bulk salt allocated to the City of Ann Arbor in excess of the original request of 4,000 tons.
Seasonal Backup Maximum Limit = 130% of 4,000 tons = 5,200 tons at $53.31/ton +$4,000.00* for trucking load variances = $281,212.00
*Due to the difficulty of loading trucks to the exact tonnage ordered, Public Works is seeking an additional $4,000.00 above the quantity requested to be able to pay the vendor, The Detroit Salt Company, L.C., if overloading should occur on the seasonal backup fills.
Budget/Fiscal Impact: Sufficient funds for this purchase are available within the appropriate approved FY26 Public Works Operation and Maintenance Budgets.
Staff
Prepared by: Robert West, Public Works Assistant Manager
Reviewed by: Paul Mat...
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