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bwest
Administrator
United States
3820 Posts |
 Posted - 01/22/2011 : 06:05:49 AM
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I know this is probably a subject for the managment forum but I seem to get a more candid answer from you guys than those guys in a tie.
For school districts, how do you guys bid your fuel? Ours is bid on the mark up or profit. We request a "tank wagon" price (fuel from refinery to supplier)and they bid so many cents over that price. We state a date in the past so everyone is on the same page.
We are thinking of locking in a price. This would be like lots of companies sell LP or home heating oil. You say I want to buy so many gallons for the year and then the supplier tells you what price they can sell it to you for. This "locks in" the price for the year.
What are you guys doing? |
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Fastback
Top Member
1500 Posts |
Posted - 01/22/2011 : 08:13:06 AM
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My district locked in the price of propane a year or three ago and ended up spending $40k more than they needed to for the year.
We just buy diesel at their competitive current price and hope it averages out in the end.
I believe if you really want to have some leverage on fuel costs you need to be able to take a transport load at a time. |
Why yes, the ORIGinal CHARGER is a Fastback |
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08 Thomas EF
Top Member
533 Posts |
Posted - 01/22/2011 : 09:53:24 AM
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I don't think we do not have our diesel locked in, but utilities for the buildings are.
What's worth mentioning is that we share our fuel with the highway department. They have an in-ground fuel tank and fuel pumps with a roof/lights overhead, just like at a gas station, and the buses drive to the highway garage to fuel up. Gallons/cost is recorded at each fueling and the school pays the town for their share of the fuel. This probably means savings from the fuel supplier because there's more fuel going to one place instead of having two different places and "customers". |
Edited by - 08 Thomas EF on 01/22/2011 09:54:18 AM |
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bluebirdvision
Top Member
USA
1081 Posts |
Posted - 01/22/2011 : 10:14:19 AM
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The buses around here have a fuel card to the local gas station. Anybody that has seen our transportation department knows why. There is no room to park the buses, let alone have our own pumps.
Where I work had their own pumps. They were paying .50 more per gallon than what was advertised at the gas stations. (for diesel and gas) so they took the pumps out, and they use some type of credit card, drivers can fuel at almost any gas station in NYS. With the exception of certain "tax exempt" stores. |
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Edited by - bluebirdvision on 01/22/2011 10:40:17 AM |
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Wolf0r
Top Member
USA
2181 Posts |
Posted - 01/24/2011 : 07:00:47 AM
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| We issue each driver a fuel card. They fill up at Countrymark. |
“The good thing about science is that it's true whether or not you believe in it.”
Neil deGrasse Tyson |
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bwest
Administrator
United States
3820 Posts |
Posted - 01/24/2011 : 10:26:02 AM
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Countrymark!! I sell crude oil to those guys but the don't have any stations over here.
Does the school corps. have to bid their fuel over there? |
Bryan |
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Wolf0r
Top Member
USA
2181 Posts |
Posted - 01/25/2011 : 07:38:52 AM
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| I really don't know about the corps how they bid fuel or if they do at all. I know one corp has their own pumps, and the other school corp has the janitors refuel buses in the evening at countrymark. |
“The good thing about science is that it's true whether or not you believe in it.”
Neil deGrasse Tyson |
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flyboy
Senior Member
USA
147 Posts |
Posted - 01/26/2011 : 06:10:15 AM
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| We here in Pennsylvania have Intermediate units that liason with all the districts in the area. They have gotten fuel usage from several districts and gone out to bid for the acuumulated total of gallons used on a yearly basis.We ask for fixed price and floating price and award to the lowest bidder. Currently we are buying fuel on the spot market floating price which is posted every week.We think the large quanities needed, 1 to 1.5 million gallons give us a little leverage to get a good price. We are currently using Petroleum Traders in Fort Wayne. |
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bwest
Administrator
United States
3820 Posts |
Posted - 01/26/2011 : 06:40:15 AM
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| Where would I find out more about "intermediate units"? I'm not sure I know what you are talking about. Do you all fuel out of the same place or do they deliver the million and a half gallons to several locations? What is your tank size? Like someone above said I think if a guy had a big enough tank you could get a transport load and therefore safe money (how much would be the kicker. Would it be enough to even pay for the large tank?) |
Bryan |
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Fuel bidding
