PREPARED BY: CHIARA HANNA DATE OF MEETING: 01/20/2026
SUBJECT:
TITLE
CONSIDER ADOPTING RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN PABLO AUTHORIZING THE CITY MANAGER TO EXECUTE A FIRST AMENDMENT TO THE AGREEMENT WITH PINNACLE PETROLEUM, INC. FOR THE PURCHASE OF FUEL FOR CITY OPERATIONS; INCREASING COMPENSATION BY UP TO $90,000 FOR FISCAL YEAR 2025/26; AUTHORIZING COMPENSATION NOT TO EXCEED $180,000 FOR FISCAL YEAR 2026/27 THROUGH MARCH 1, 2027; EXTENDING THE AGREEMENT TERM THROUGH MARCH 1, 2027; AND ESTABLISHING A TOTAL AGREEMENT AMOUNT NOT TO EXCEED $974,846
CEQA: This proposed action is not a project as defined by CEQA.
Label
CITY MANAGER RECOMMENDATION
Recommendation
Adopt Resolution
BODY
COMPLIANCE STATEMENTS
FY 2023-2025 Council Priority Workplan Compliance Statements:
The purchase fuel supply is not found within the City Council's Priority Workplan but is necessary for ongoing operations of the City.
CEQA Compliance Statement
The purchase of fuel supply is not a project under Section 15378 of the Guidelines for the California Environmental Quality Act (CEQA) and if a project, would be exempt from environmental review pursuant to Sections 15061 (b)(2) and 15061 (b)(3) of the CEQA guidelines.
BACKGROUND
Several City of San Pablo departments rely on City-owned vehicles to carry out daily operations, including the Police Department, the Public Works Department (Maintenance Division), and the Community Services Department (Paratransit Division).
On March 2, 2023, the State of California (State) entered into a fuel services agreement with Pinnacle Petroleum, Inc. (State Contract No. 1-23-91-02B). In accordance with State law and Section 3.16.110(E) of the San Pablo Municipal Code, the City is allowed to procure goods and services through State competitively bid contracts.
Following a review of the State contract pricing and terms, City staff determined that utilizing the State agreement would result in both cost savings and administrati...
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