Summary Sheet- RFCA SUMMARY

CITY OF TEMPE
Meeting Date: 6/25/2026
REQUEST FOR COUNCIL ACTION
Agenda Item: 8A13
ACTION:  Approve a one-year contract renewal with Sapphire Gas Solutions LLC, for the supply of 
liquefied natural gas to support the City’s transit and fleet operations.
FISCAL IMPACT:  The total cost of this contract shall not exceed $4,500,000. Sufficient funds have 
been appropriated in the Transit Fund, Cost Center 3914 (Transit Operations), for the anticipated 
expenditures in the current fiscal year and next fiscal year, contingent upon City Council approval of the 
City’s annual budget.
RECOMMENDATION:  Approve the contract renewal.
 
BACKGROUND INFORMATION:  (T23-151-01) City Council originally approved the contract award 
on August 10, 2023, for an initial three-year period with two, one-year renewal options. This renewal 
request is for the first of two available renewal options.
Staff reviewed the performance of the awarded firm as indicated below:
Sapphire Gas Solutions LLC
Criteria
Meets 
Requirements
Does Not Meet 
Requirements
Contract personnel are responsive, cooperative 
and available.
X
The quality of products or services delivered 
X
Timeliness of performance
X
Follow-up skills in resolving complaints or 
problems brought to their attention
X
Promptness and accuracy of pricing on submitted 
invoices 
X
Renewal Pricing
Sapphire Gas Solutions LLC is not requesting a price adjustment. The contracted pricing is fixed for a 
five-year term. Contract pricing is based upon a fixed transportation cost per gallon and a fuel cost per 
gallon based on the monthly published Southern California Gas Company Platts Index (SoCal) for 
natural gas. The transportation cost per gallon is inclusive of all costs including liquefaction, utility cost, 
transportation, labor, materials, overhead, profit, etc.
ATTACHMENTS:    N/A
STAFF CONTACT(S):  Shelly Seyler, Deputy Transportation and Sustainability Director, (480) 350-
8854
Department Director:  Laura Calder, Financial Services Director
Legal review by:  Dave Park, Senior Assistant City Attorney
Prepared by:  John Snow, Procurement Officer