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Contract Award to Mansfield Oil Company for Diesel Fuel and Diesel Exhaust Fluid (DEF)
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DESCRIPTION: Diesel fuel and DEF State Contract |
AGENDA NO: Click or tap here to enter text. |
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ACTION REQUEST: ☒ Approval ☐ Review Comment ☐ Information Only ☐ Other |
RECOMMENDATION:
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This is a request to authorize the CEO to award contract to Mansfield Oil Company in line with the piggy backing of Louisiana state contract 4400027347 for Diesel Fuel and DEF in the not to exceed value amount of $8,262,260.23.
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ISSUE/BACKGROUND:
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The purpose and intent of this document is to acquire a contract with a fueling company to provide the agency with the appropriate diesel fuel and DEF in line with the terms set by the state of Louisiana. The estimated quantity of diesel fuel consumed by the RTA is estimated at 1.9 million gallons per year (~5,200 gallons daily). The estimated quantity consumption for DEF is estimated to be 31,000 gallons per year (~597 gallons weekly).
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DISCUSSION:
The agency currently operates under a fuel agreement established during the transition from Transdev to RTA. This authorization serves to formalize the agency’s intent to enter a new contract with a fueling provider through a piggyback arrangement on the Louisiana State Contract (Contract No. 4400027347), ensuring continued access to diesel fuel and Diesel Exhaust Fluid (DEF) in accordance with state terms.
The agency maintains six inground fuel tanks to support its daily operations. Estimated diesel fuel consumption is approximately 1.9 million gallons annually, averaging 5,200 gallons per day. DEF consumption is estimated at 31,000 gallons per year, or roughly 597 gallons per week.
This authorization ensures uninterrupted fueling services and secures the necessary supply of DEF, while remaining within the not-to-exceed value established by the Louisiana State Contract.
FINANCIAL IMPACT:
According to the U.S. Energy Information Administration (EIA), the retail price of diesel fuel was $2.81 per gallon in 2018 and increased to $3.42 per gallon in 2024-reflecting a 21.7% rise over that period. To account for continued market volatility and inflation, the agency has applied a projected annual escalation rate of 10% to estimate future costs.
Based on current consumption levels, the agency’s projected diesel fuel expenditure for the 2026-2027(February) period is approximately $7,801,326.18 under account code 01-4300-02-8020-031-01-00-00000-00000. The projected cost for Diesel Exhaust Fluid (DEF) over the same two-year period is $75,200.84 under account code 01-4300-02-8070-031-01-00-00000-00000 and Ferry fuel for amount of $385,733.21 under account code 01-6100-02-8020-031-07-00-00000-00000.
The total estimated financial impact for diesel and DEF combined is $8,262,260.23.
NEXT STEPS:
Once approved staff will issue a purchase order and finalize documents.
ATTACHMENTS:
1. Resolution
2. State contract
3. Sourcewell RFP
4. Routing Approval
Prepared By: Alger Pennaman II
Title: Fleet Asset Manager
Reviewed By: Ryan Moser
Title: Chief Asset Management Officer
Reviewed By: Gizelle Banks
Title: Chief Financial Officer
10/3/2025
Lona Edwards Hankins Date
Chief Executive Officer