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(continued) 20986a.doc/T03md State of New York Executive Department Office Of General Services Procurement Services Group Corning Tower Building - 38th Floor Empire State Plaza Albany, New York 12242 http://www.ogs.state.ny.us CONTRACT AWARD NOTIFICATION Title : Group 05602 – DIESEL ENGINE FUEL, ULTRA-LOW SULFUR AND BIODIESEL (On-Road Use Only) (Statewide) Classification Code(s): 15 Award Number : 20986 (Replaces Award 20331) Contract Period : August 17, 2007 thru August 13, 2009 Bid Opening Date : April 26, 2007 Date of Issue : September 18, 2007 Specification Reference : As Incorporated In The Invitation for Bids Contractor Information : Appears on Page 2 of this Award Address Inquiries To: State Agencies & Vendors Political Subdivisions & Others Customer Services Name : Title : Phone : Fax : E-mail : Russell B. Patton, Jr. Purchasing Officer I 518-474-9621 518-474-1160 [email protected] Phone : Fax : E-mail : 518-474-6717 518-474-2437 [email protected] The Procurement Services Group values your input. Complete and return "Contract Performance Report" at end of document. Description This Award covers the Statewide requirements for Diesel Engine Fuel (On-Road Use Only), Ultra-Low Sulfur Highway, Regular, Premium, and Biodiesel (for certain counties) for use by State and non-State agencies. PR # 20986

CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: [email protected]

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Page 1: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

(continued) 20986a.doc/T03md

State of New York Executive Department Office Of General Services

Procurement Services Group Corning Tower Building - 38th Floor

Empire State Plaza Albany, New York 12242 http://www.ogs.state.ny.us

CONTRACT AWARD NOTIFICATION

Title : Group 05602 – DIESEL ENGINE FUEL, ULTRA-LOW SULFUR AND BIODIESEL (On-Road Use Only) (Statewide) Classification Code(s): 15

Award Number : 20986 (Replaces Award 20331)

Contract Period : August 17, 2007 thru August 13, 2009

Bid Opening Date : April 26, 2007

Date of Issue : September 18, 2007

Specification Reference : As Incorporated In The Invitation for Bids

Contractor Information : Appears on Page 2 of this Award

Address Inquiries To:

State Agencies & Vendors Political Subdivisions & Others Customer Services Name :

Title : Phone : Fax : E-mail :

Russell B. Patton, Jr. Purchasing Officer I 518-474-9621 518-474-1160 [email protected]

Phone : Fax : E-mail :

518-474-6717 518-474-2437 [email protected]

The Procurement Services Group values your input.

Complete and return "Contract Performance Report" at end of document.

Description This Award covers the Statewide requirements for Diesel Engine Fuel (On-Road Use Only), Ultra-Low Sulfur Highway, Regular, Premium, and Biodiesel (for certain counties) for use by State and non-State agencies. PR # 20986

Page 2: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

GROUP 05602 – DIESEL ENGINE FUEL, ULTRA-LOW SULFUR AWARD PAGE 2 AND BIODIESEL (ON-ROAD USE ONLY) (STATEWIDE)

(continued) 20986a.doc/T03md

NOTE: See individual contract items to determine actual awardees.

CONTRACT # CONTRACTOR & ADDRESS TELEPHONE # FED.IDENT.# PC63225 ADIRONDACK ENERGY 518-483-3835 141719550 SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: [email protected] NOTE: Adirondack will honor orders for less than the listed minimum order at fair market prices (TW only). PC63226 ASCENT AVIATION GROUP, INC. 800-272-3681 161353957 SB ONE MILL STREET 315-625-7299 PARISH, NY 13131 April Andrews FAX NO.: 315-625-4226 Web Site: www.ascent1.com PC63227 GRANITE CAPITAL HOLDINGS 800-934-9480 150552668 D/B/A MIRABITO FUEL GROUP 607-561-2700 44 GRAND STREET Annette Mertz OR SIDNEY, NY 13838 Joseph Mirabito FAX NO.: 607-563-1297 E-mail: [email protected] [email protected] Web Site: www.mirabitofuel.com PC63228 GRIFFITH ENERGY CO., INC. 800-724-2552 160736353 760 BROOKS AVENUE 585-783-2674 ROCHESTER, NY 14619 Paul Tandlmayer FAX NO.: 585-235-6572 E-mail: [email protected] Web Site: www.griffithenergy.com NOTE: Griffith will honor orders for less than the listed minimum order at fair market prices (TW only). PC63229 MAIN BROTHERS OIL CO., INC. 800-542-5552 146024844 D/B/A MAIN CARE ENERGY 518-438-4195 Ext. 219 1 BOOTH LANE David Borger PO BOX 11029 FAX NO.: 518-438-5991 ALBANY, NY 12211 E-mail: [email protected] Web Site: www.maincareenergy.com NOTE: Main Brothers will honor orders for less than the listed minimum order at fair market prices (TW only). PC63230 METRO FUEL OIL CORP. 718-383-1400 112658894 SB 500 KINGSLAND AVENUE Scott Alnwick BROOKLYN, NY 11222 FAX NO.: 718-383-6586 E-mail: [email protected] Web Site: www.metroenergy.com NOTE: Metro will honor orders for less than the listed minimum order at fair market prices (TW only).

Page 3: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

GROUP 05602 – DIESEL ENGINE FUEL, ULTRA-LOW SULFUR AWARD PAGE 3 AND BIODIESEL (ON-ROAD USE ONLY) (STATEWIDE)

(continued) 20986a.doc/T03md

NOTE: See individual contract items to determine actual awardees.

CONTRACT # CONTRACTOR & ADDRESS TELEPHONE # FED.IDENT.# PC63231 NOCO ENERGY CORP. 800-229-6626 160727383 2440 SHERIDAN DRIVE 716-614-1227 OR TONAWANDA, NY 14150 716-614-1124 Dave Wentland OR Rosemary Suszynski FAX NO.: 716-614-1276 OR 716-832-1360 E-mail: [email protected] Web Site: www.NOCO.com PC63232 PETROLEUM TRADERS CORP. 800-348-3705 Ext. 1002 351462227 7120 POINTE-INVERNESS WAY 260-432-6622 Ext. 1002 FORT WAYNE, IN 46804 Gayle Newton FAX NO.: 260-207-6347 E-mail: [email protected] Web Site: www.petroleumtraders.com NOTE: Petroleum Traders will honor orders for less than the listed minimum order at fair market prices (TW only). PC63233 SHEPARD OIL CO., INC. 800-288-2659 141469506 SB INDUSTRIAL PARK 518-762-7812 JOHNSTOWN, NY 12095 Dean Shepard FAX NO.: 518-762-2708 NOTE: Shepard Oil will honor orders for less than the listed minimum order at fair market prices (TW only). PC63234 SPRAGUE ENERGY CORP. 914-328-6726 OR 020415440 4 NEW KING STREET 914-328-6710 WHITE PLAINS, NY 10604 Burr J. Mosher III FAX NO.: 914-328-6721 E-mail: [email protected] [email protected] Web Site: www.spragueenergy.com NOTE: Sprague Energy will honor orders for less than the listed minimum order at fair market prices (TW only). PC63235 SUNOCO INC., (R & M) 800-311-9904 231743283 D/B/A MOHAWK HOME 315-735-4810 Ext. 3 COMFORT SERVICES Russell J. Hirschey 9754 RIVER ROAD FAX NO.: 315-368-0025 PO BOX A E-mail: [email protected] MARCY, NY 13403

Page 4: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

GROUP 05602 – DIESEL ENGINE FUEL, ULTRA-LOW SULFUR AWARD PAGE 4 AND BIODIESEL (ON-ROAD USE ONLY) (STATEWIDE)

(continued) 20986a.doc/T03md

NOTE: See individual contract items to determine actual awardees.

CONTRACT # CONTRACTOR & ADDRESS TELEPHONE # FED.IDENT.# PC63236 T. F. KURK, INC. 716-824-1298 161091695 SB 78 SAWYER AVENUE Greg Kurk TONAWANDA, NY 14150 FAX NO.: 716-824-1298 E-mail: [email protected] NOTE: Kurk will honor orders for less than the listed minimum order at fair market prices (TW only). Kurk will accept the New York State Procurement Card for orders up to $10,000.00 with NO additional discount. PC63237 TOWNSEND OIL CORPORATION 800-369-8187 160809785 SB PO BOX 148 585-768-8188 LEROY, NY 14482 Kevin Brady FAX NO.: 585-768-8189 E-mail: [email protected] [email protected] Web Site: www.townsendenergy.com NOTE: Townsend will honor orders for less than the listed minimum order at fair market price (TW only). PC63238 WAREX TERMINALS CORP. 800-724-0818 141470268 SB PO BOX 488 845-561-4000 Ext. 7110 1 SO. WATER STREET Chrissy, Walt, Jim, Frank, Jonathan NEWBURGH, NY 12550 FAX NO.: 845-562-2085 E-mail: [email protected] Web Site: www.warexterminals.com NOTE: Warex will honor orders for less than the listed minimum order at fair market price (TW only).

Cash Discount, If Shown, Should be Given Special Attention. INVOICES MUST BE SENT DIRECTLY TO THE ORDERING AGENCY FOR PAYMENT.

(See "Contract Payments" and "Electronic Payments" in this document.) AGENCIES SHOULD NOTIFY THE PROCUREMENT SERVICES GROUP PROMPTLY IF THE CONTRACTOR FAILS TO MEET DELIVERY OR OTHER TERMS OF THIS CONTRACT. PRODUCTS OR SERVICES WHICH DO NOT COMPLY WITH THE SPECIFICATIONS OR ARE OTHERWISE UNSATISFACTORY TO THE AGENCY SHOULD ALSO BE REPORTED TO THE PROCUREMENT SERVICES GROUP. SMALL, MINORITY AND WOMEN-OWNED BUSINESSES:

The letters SB listed under the Contract Number indicate the contractor is a NYS small business. Additionally, the letters MBE and WBE indicate the contractor is a Minority-owned Business Enterprise and/or Woman-owned Business Enterprise.

Page 5: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

GROUP 05602 – DIESEL ENGINE FUEL, ULTRA-LOW SULFUR AWARD PAGE 5 AND BIODIESEL (ON-ROAD USE ONLY) (STATEWIDE)

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RECYCLED, REMANUFACTURED AND ENERGY EFFICIENT PRODUCTS:

The Procurement Services Group supports and encourages the purchase of recycled, remanufactured, energy efficient and "energy star" products. If one of the following codes appears as a suffix in the Award Number or is noted under the individual Contract Number(s) in this Contract Award Notification, please look at the individual awarded items for more information on products meeting the suffix description.

RS,RP,RA Recycled RM Remanufactured SW Solid Waste Impact EE Energy Efficient E* EPA Energy Star ES Environmentally Sensitive

NOTE TO AUTHORIZED USERS:

When placing purchase orders under the contract(s), the authorized user should be familiar with and follow the terms and conditions governing its use which usually appears at the end of this document. The authorized user is accountable and responsible for compliance with the requirements of public procurement processes. The authorized user must periodically sample the results of its procurements to determine its compliance. In sampling its procurements, an authorized user should test for reasonableness of results to ensure that such results can withstand public scrutiny. The authorized user, when purchasing from OGS contracts, should hold the contractor accountable for contract compliance and meeting the contract terms, conditions, specifications, and other requirements. Also, in recognition of market fluctuations over time, authorized users are encouraged to seek improved pricing whenever possible. Authorized users have the responsibility to document purchases, particularly when using OGS multiple award contracts for the same or similar product(s)/service(s), which should include:

• a statement of need and associated requirements, • a summary of the contract alternatives considered for the purchase, • the reason(s) supporting the resulting purchase (e.g., show the basis for the selection among multiple

contracts at the time of purchase was the most practical and economical alternative and was in the best interests of the State).

NOTE TO ALL CONTRACT USERS:

The terms and conditions of the bid solicitation which apply to the award appear at the end of this document. We strongly advise all contract users to familiarize themselves with all terms and conditions before issuing a purchase order.

PRICE:

Price is net, per gallon, F.O.B. agency storage tanks, including all custom duties and charges, and as designated by the ordering agency.

Quantity Based on Price Price Item No./ Filed Requirements Item Per Gal. Per Gal. Diesel Fuel by County For 12 Mo. Volume No. 2D 1D Contractor Albany 1 Diesel Regular 695,854 1 $2.1173 $2.2740 Warex Terminals 2 Diesel Premium 588,000 2 $2.1348 $2.2740 Warex Terminals 3 ULSD 2D BIO (B5) 232,000 3 $2.5236 $2.6500 Main Brothers

Page 6: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

GROUP 05602 – DIESEL ENGINE FUEL, ULTRA-LOW SULFUR AWARD PAGE 6 AND BIODIESEL (ON-ROAD USE ONLY) (STATEWIDE)

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Quantity Based on Price Price Item No./ Filed Requirements Item Per Gal. Per Gal. Diesel Fuel by County For 12 Mo. Volume No. 2D 1D Contractor Allegany 4 Diesel Regular 201,700 4 $2.1229 $2.2434 NOCO Energy 5 Diesel Premium 25,000 5 $2.2456 $2.3457 NOCO Energy 6 ULSD 2D BIO (B5) 61,000 6 $2.3429 $2.4634 NOCO Energy Bronx 7 Diesel Regular 13,200 7 $2.0524 $2.1005 Metro Fuel 8 Diesel Premium 3,000 8 $2.0624 $2.1105 Metro Fuel Broome 9 Diesel Regular 936,280 9 $2.2187 $2.3890 Sunoco Inc. 10 Diesel Premium 812,500 10 $2.1558 $2.3396 Sunoco Inc. 11 ULSD 2D BIO (B5) 163,000 11 $2.3030 $2.5500 Granite Capital 12 ULSD 2D BIO (B20) 27,000 12 $2.3672 $2.5500 Granite Capital Cattaraugus 13 Diesel Regular 435,500 13 $2.1223 $2.2429 NOCO Energy 14 Diesel Premium 58,600 14 $2.1379 $2.2559 NOCO Energy 15 ULSD 2D BIO (B5) 144,000 15 $2.3223 $2.4429 NOCO Energy 16 ULSD 2D BIO (B20) 2,400 16 $2.4023 $2.5229 NOCO Energy Cayuga 17 Diesel Regular 346,000 17 $2.2871 $2.4233 Sunoco Inc. 18 Diesel Premium 98,000 18 $2.1633 $2.3182 Sunoco Inc. 19 ULSD 2D BIO (B5) 62,000 19 NO AWARD – NO BIDS RECEIVED Chautauqua 20 Diesel Regular 196,500 20 $2.1186 $2.2398 NOCO Energy 21 Diesel Premium 87,000 21 $2.1294 $2.2488 NOCO Energy 22 ULSD 2D BIO (B5) 133,000 22 $2.3186 $2.4398 NOCO Energy Chemung 23 Diesel Regular 108,600 23 $2.2475 $2.3475 Griffith Energy 24 Diesel Premium 286,000 24 $2.2808 $2.3808 Griffith Energy 25 ULSD 2D BIO (B5) 26,000 25 $2.4530 $2.7000 Granite Capital Chenango 26 Diesel Regular 193,000 26 $2.2135 $2.3752 Sunoco Inc. 27 ULSD 2D BIO (B5) 82,000 27 $2.3530 $2.6000 Granite Capital 28 ULSD 2D BIO (B20) 8,300 28 $2.4172 $2.6000 Granite Capital Clinton 29 Diesel Regular 410,800 29 $2.1247 $2.1892 Adirondack Energy 30 Diesel Premium 145,500 30 $2.2210 $2.1950 Griffith Energy 31 ULSD 2D BIO (B5) 118,000 31 $2.4922 $2.2132 Adirondack Energy Columbia 32 Diesel Regular 143,788 32 $2.1273 $2.2840 Warex Terminals 33 ULSD 2D BIO (B5) 142,250 33 $2.5736 $2.7000 Main Brothers 34 ULSD 2D BIO (B20) 45,000 34 $2.6117 $2.7000 Main Brothers

Page 7: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

GROUP 05602 – DIESEL ENGINE FUEL, ULTRA-LOW SULFUR AWARD PAGE 7 AND BIODIESEL (ON-ROAD USE ONLY) (STATEWIDE)

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Quantity Based on Price Price Item No./ Filed Requirements Item Per Gal. Per Gal. Diesel Fuel by County For 12 Mo. Volume No. 2D 1D Contractor Cortland 35 Diesel Regular 38,454 35 $2.2717 $2.3660 Sunoco Inc. 36 ULSD 2D BIO (B5) 54,000 36 $2.4530 $2.7000 Granite Capital 37 ULSD 2D BIO (B20) 13,000 37 $2.5672 $2.7500 Granite Capital Delaware 38 Diesel Regular 252,834 38 $2.1800 $2.4500 Granite Capital 39 Diesel Premium 13,000 39 NO AWARD – NO BIDS RECEIVED 40 ULSD 2D BIO (B5) 100,000 40 $2.3530 $2.6000 Granite Capital 41 ULSD 2D BIO (B20) 10,000 41 $2.4672 $2.6000 Granite Capital Dutchess 42 Diesel Regular 921,888 42 $2.1048 $2.2615 Warex Terminals 43 Diesel Premium 896,930 43 $2.1223 $2.2615 Warex Terminals 44 ULSD 2D BIO (B5) 154,670 44 NO AWARD – NO BIDS RECEIVED Erie 45 Diesel Regular 1,466,040 45 $2.0555 $2.1703 T. F. Kurk, Inc. 46 Diesel Premium 467,000 46 $2.0680 $2.1828 T. F. Kurk, Inc. 47 ULSD 2D BIO (B5) 489,000 47 $2.2181 $2.3325 T. F. Kurk, Inc. 48 ULSD 2D BIO (B20) 16,000 48 $2.2711 $2.3795 NOCO Energy Essex 49 Diesel Regular 267,300 49 $2.2052 $2.3052 Griffith Energy 50 Diesel Premium 64,200 50 $2.2651 $2.3651 Griffith Energy 51 ULSD 2D BIO (B5) 134,000 51 NO AWARD – NO BIDS RECEIVED Franklin 52 Diesel Regular 194,800 52 $2.1757 $2.1922 Adirondack Energy 53 ULSD 2D BIO (B5) 163,000 53 $2.4710 $2.2052 Adirondack Energy Fulton 54 Diesel Regular 102,500 54 $2.1440 $2.3485 Shepard Oil 55 Diesel Premium 206,000 55 $2.1566 $2.2847 Sunoco Inc. 56 ULSD 2D BIO (B5) 20,000 56 $3.1126 $2.3485 Shepard Oil Genesee 57 Diesel Regular 130,000 57 $2.0833 $2.2205 NOCO Energy 58 ULSD 2D BIO (B5) 44,000 58 $2.3333 $2.4705 NOCO Energy Greene 59 Diesel Regular 132,200 59 $2.1633 $2.2875 Main Brothers 60 Diesel Premium 147,000 60 $2.1833 $2.3075 Main Brothers 61 ULSD 2D BIO (B5) 72,000 61 $2.5736 $2.7000 Main Brothers Hamilton 62 Diesel Regular 97,300 62 $2.3240 $2.5285 Shepard Oil 63 Diesel Premium 10,000 63 $2.3240 $2.5285 Shepard Oil 64 ULSD 2D BIO (B5) 46,000 64 $3.2126 $2.6285 Shepard Oil

Page 8: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

GROUP 05602 – DIESEL ENGINE FUEL, ULTRA-LOW SULFUR AWARD PAGE 8 AND BIODIESEL (ON-ROAD USE ONLY) (STATEWIDE)

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Quantity Based on Price Price Item No./ Filed Requirements Item Per Gal. Per Gal. Diesel Fuel by County For 12 Mo. Volume No. 2D 1D Contractor Herkimer 65 Diesel Regular 277,500 65 $2.1740 $2.3785 Shepard Oil 66 Diesel Premium 45,000 66 $2.1940 $2.3785 Shepard Oil 67 ULSD 2D BIO (B5) 48,000 67 $2.5030 $2.7500 Granite Capital 68 ULSD 2D BIO (B20) 550 68 NO AWARD – NO BIDS RECEIVED Jefferson 69 Diesel Regular 222,700 69 $2.1664 $2.3205 Sunoco, Inc. 70 Diesel Premium 104,200 70 $2.1656 $2.3248 Sunoco, Inc. 71 ULSD 2D BIO (B5) 185,000 71 $2.9739 $3.0485 Ascent Aviation Kings 72 Diesel Regular 18,000 72 $2.0249 $2.0730 Metro Fuel Oil 73 ULSD 2D BIO (B5) 5,000 73 $2.0703 $2.1005 Metro Fuel Oil 74 ULSD 2D BIO (B20) 5,000 74 $2.1439 $2.1205 Metro Fuel Oil Lewis 75 Diesel Regular 229,000 75 $2.1391 $2.2899 Sunoco, Inc. 76 ULSD 2D BIO (B5) 33,700 76 NO AWARD – NO BIDS RECEIVED Livingston 77 Diesel Regular 339,807 77 $2.1411 $2.2411 Griffith Energy 78 ULSD 2D BIO (B5) 58,500 78 NO AWARD – NO BIDS RECEIVED 79 ULSD 2D BIO (B20) 38,000 79 NO AWARD – NO BIDS RECEIVED Madison 80 Diesel Regular 224,500 80 $2.1796 $2.3313 Sunoco, Inc. 81 Diesel Premium 49,000 81 $2.3062 $2.4499 Sunoco, Inc. 82 ULSD 2D BIO (B5) 36,000 82 $2.4530 $2.7000 Granite Capital Monroe 83 Diesel Regular 2,067,400 83 $2.0890 $2.1890 Griffith Energy 84 Diesel Premium 1,834,500 84 $2.0999 $2.1999 Griffith Energy 85 ULSD 2D BIO (B5) 527,000 85 $2.4508 $2.5900 NOCO Energy 86 ULSD 2D BIO (B20) 50,000 86 $2.3908 $2.5400 NOCO Energy Montgomery 87 Diesel Regular 353,600 87 $2.1740 $2.3785 Shepard Oil 88 Diesel Premium 53,000 88 $2.1940 $2.3785 Shepard Oil 89 ULSD 2D BIO (B5) 54,000 89 $3.1126 $2.3785 Shepard Oil Nassau 90 Diesel Regular 429,955 90 $2.0089 $2.0570 Metro Fuel Oil 91 Diesel Premium 1,192,703 91 $2.0189 $2.0670 Metro Fuel Oil 92 ULSD 2D BIO (B5) 193,450 92 $2.0803 $2.1105 Metro Fuel Oil 93 ULSD 2D BIO (B20) 12,000 93 $2.1439 $2.1205 Metro Fuel Oil New York 94 Diesel Premium 54,000 94 $2.0424 $2.0905 Metro Fuel Oil

Page 9: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

GROUP 05602 – DIESEL ENGINE FUEL, ULTRA-LOW SULFUR AWARD PAGE 9 AND BIODIESEL (ON-ROAD USE ONLY) (STATEWIDE)

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Quantity Based on Price Price Item No./ Filed Requirements Item Per Gal. Per Gal. Diesel Fuel by County For 12 Mo. Volume No. 2D 1D Contractor Niagara 95 Diesel Regular 341,000 95 $2.0555 $2.1703 T. F. Kurk, Inc. 96 Diesel Premium 105,000 96 $2.0680 $2.1828 T. F. Kurk, Inc. 97 ULSD 2D BIO (B5) 84,000 97 $2.2281 $2.3425 T. F. Kurk, Inc. 98 ULSD 2D BIO (B20) 18,000 98 $2.3629 $2.4595 NOCO Energy Oneida 99 Diesel Regular 883,028 99 $2.1295 $2.2771 Sunoco, Inc. 100 Diesel Premium 106,000 100 $2.1702 $2.3279 Sunoco, Inc. 101 ULSD 2D BIO (B5) 172,600 101 $2.5030 $2.7500 Granite Capital 102 ULSD 2D BIO (B20) 67,000 102 $2.5672 $2.7500 Granite Capital Onondaga 103 Diesel Regular 327,000 103 $2.0974 $2.4000 Petroleum Traders 104 Diesel Premium 297,500 104 $2.1001 $2.2901 Sunoco, Inc. 105 ULSD 2D BIO (B5) 198,000 105 $2.7239 $2.7985 Ascent Aviation 106 ULSD 2D BIO (B20) 100,200 106 $2.7683 $2.7985 Ascent Aviation Ontario 107 Diesel Regular 563,500 107 $2.1163 $2.2163 Griffith Energy 108 Diesel Premium 612,000 108 $2.1204 $2.2204 Griffith Energy 109 ULSD 2D BIO (B5) 40,000 109 NO AWARD – NO BIDS RECEIVED 110 ULSD 2D BIO (B20) 7,000 110 NO AWARD – NO BIDS RECEIVED Orange 111 Diesel Regular 678,697 111 $2.1048 $2.2615 Warex Terminals 112 Diesel Premium 1,167,201 112 $2.1223 $2.2615 Warex Terminals 113 ULSD 2D BIO (B5) 234,570 113 NO AWARD – NO BIDS RECEIVED Orleans 114 Diesel Regular 313,900 114 $2.0707 $2.1853 T. F. Kurk, Inc. 115 ULSD 2D BIO (B5) 30,000 115 $2.0808 $2.2249 NOCO Energy 116 ULSD 2D BIO (B20) 5,000 116 $2.3283 $2.4875 NOCO Energy Oswego 117 Diesel Regular 984,500 117 $2.1155 $2.2836 Sunoco, Inc. 118 Diesel Premium 335,000 118 $2.2320 $2.3912 Sunoco, Inc. 119 ULSD 2D BIO (B5) 76,000 119 $2.8339 $2.9085 Ascent Aviation 120 ULSD 2D BIO (B20) 8,740 120 $2.8783 $2.9085 Ascent Aviation Otsego 121 Diesel Regular 78,000 121 $2.1640 $2.5000 Granite Capital 122 ULSD 2D BIO (B5) 124,000 122 $2.4530 $2.7000 Granite Capital 123 ULSD 2D BIO (B20) 2,400 123 $2.5672 $2.7500 Granite Capital Putnam 124 Diesel Regular 238,850 124 $2.1048 $2.2615 Warex Terminals 125 Diesel Premium 128,372 125 $2.1223 $2.2615 Warex Terminals 126 ULSD 2D BIO (B5) 121,000 126 $2.1707 $2.2501 Sprague Energy

Page 10: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

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Quantity Based on Price Price Item No./ Filed Requirements Item Per Gal. Per Gal. Diesel Fuel by County For 12 Mo. Volume No. 2D 1D Contractor Queens 127 Diesel Regular 17,000 127 $2.0249 $2.0730 Metro Fuel Oil 128 ULSD 2D BIO (B5) 217,000 128 $2.1339 $21105 Metro Fuel Oil Rensselaer 129 Diesel Regular 203,800 129 $2.1173 $2.2740 Warex Terminals 130 Diesel Premium 213,000 130 $2.1348 $2.2740 Warex Terminals 131 ULSD 2D BIO (B5) 92,000 131 $2.5236 $2.6500 Main Brothers Richmond 132 Diesel Regular 11,500 132 $2.1033 $2.2083 Sprague Energy 133 Diesel Premium 4,500 133 $2.1183 $2.2233 Sprague Energy Rockland 134 Diesel Regular 10,500 134 $2.0783 $2.2540 Warex Terminals 135 Diesel Premium 738,710 135 $2.0958 $2.2540 Warex Terminals 136 ULSD 2D BIO (B20) 90,000 136 $2.3606 $2.4360 Sprague Energy St Lawrence 137 Diesel Regular 334,300 137 $2.1961 $2.2961 Griffith Energy 138 Diesel Premium 35,000 138 $2.2336 $2.3336 Griffith Energy 139 ULSD 2D BIO (B5) 178,000 139 NO AWARD – NO BIDS RECEIVED 140 ULSD 2D BIO (B20) 5,000 140 NO AWARD – NO BIDS RECEIVED Saratoga 141 Diesel Regular 319,850 141 $2.1440 $2.3485 Shepard Oil 142 Diesel Premium 238,500 142 $2.1440 $2.3485 Shepard Oil 143 ULSD 2D BIO (B5) 229,000 143 $2.5736 $2.7000 Main Brothers Schenectady 144 Diesel Regular 571,723 144 $2.2233 $2.3375 Main Brothers 145 ULSD 2D BIO (B5) 58,000 145 $2.5736 $2.7000 Main Brothers Schoharie 146 Diesel Regular 149,300 146 $2.2800 $2.5500 Granite Capital 147 Diesel Premium 135,000 147 NO AWARD – NO BIDS RECEIVED 148 ULSD 2D BIO (B5) 60,500 148 $2.5030 $2.7500 Granite Capital 149 ULSD 2D BIO (B20) 5,000 149 NO AWARD – NO BIDS RECEIVED Schuyler 150 Diesel Regular 151,000 150 $2.1863 $2.2863 Griffith Energy 151 ULSD 2D BIO (B5) 25,000 151 NO AWARD – NO BIDS RECEIVED Seneca 152 Diesel Regular 119,100 152 $2.1371 $2.3000 Townsend Oil 153 Diesel Premium 117,505 153 $2.2350 $2.3942 Sunoco, Inc. 154 ULSD 2D BIO (B5) 32,000 154 NO AWARD – NO BIDS RECEIVED

Page 11: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

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Quantity Based on Price Price Item No./ Filed Requirements Item Per Gal. Per Gal. Diesel Fuel by County For 12 Mo. Volume No. 2D 1D Contractor Steuben 155 Diesel Regular 1,234,799 155 $2.2197 $2.3197 Griffith Energy 156 Diesel Premium 158,700 156 $2.2386 $2.3386 Griffith Energy 157 ULSD 2D BIO (B5) 131,000 157 NO AWARD – NO BIDS RECEIVED 158 ULSD 2D BIO (B20) 3,000 158 NO AWARD – NO BIDS RECEIVED Suffolk 159 Diesel Regular 861,442 159 $2.0224 $2.0705 Metro Fuel Oil 160 Diesel Premium 3,683,806 160 $2.0274 $2.0755 Metro Fuel Oil 161 ULSD 2D BIO (B5) 485,234 161 $2.0983 $2.1285 Metro Fuel Oil 162 ULSD 2D BIO (B20) 281,144 162 $2.1519 $2.1285 Metro Fuel Oil Sullivan 163 Diesel Regular 289,000 163 $2.1298 $2.2865 Warex Terminals 164 Diesel Premium 597,480 164 $2.1473 $2.2865 Warex Terminals 165 ULSD 2D BIO (B5) 98,000 165 NO AWARD – NO BIDS RECEIVED Tioga 166 Diesel Regular 103,000 166 NO AWARD – NO BIDS RECEIVED 167 Diesel Premium 7,500 167 NO AWARD – NO BIDS RECEIVED 168 ULSD 2D BIO (B5) 65,000 168 NO AWARD – NO BIDS RECEIVED Tompkins 169 Diesel Regular 327,500 169 $2.1647 $2.2647 Griffith Energy 170 Diesel Premium 256,419 170 $2.1974 $2.2974 Griffith Energy 171 ULSD 2D BIO (B5) 549,000 171 NO AWARD – NO BIDS RECEIVED 172 ULSD 2D BIO (B20) 10,000 172 NO AWARD – NO BIDS RECEIVED Ulster 173 Diesel Regular 240,300 173 $2.1298 $2.2865 Warex Terminals 174 Diesel Premium 470,300 174 $2.1473 $2.2865 Warex Terminals 175 ULSD 2D BIO (B5) 110,000 175 NO AWARD – NO BIDS RECEIVED Warren 176 Diesel Regular 129,525 176 $2.3104 $2.4119 Sunoco, Inc. 177 Diesel Premium 635,954 177 $2.1907 $2.3459 Sunoco, Inc. 178 ULSD 2D BIO (B5) 105,769 178 NO AWARD – NO BIDS RECEIVED Washington 179 Diesel Regular 426,600 179 $2.2263 $2.3375 Main Brothers 180 Diesel Premium 19,000 180 $2.2463 $2.3675 Main Brothers 181 ULSD 2D BIO (B5) 123,000 181 $2.5736 $2.7000 Main Brothers Wayne 182 Diesel Regular 182,900 182 $2.0908 $2.2380 Townsend Oil 183 Diesel Premium 705,500 183 $2.1164 $2.2164 Griffith Energy 184 ULSD 2D BIO (B5) 62,000 184 NO AWARD – NO BIDS RECEIVED

Page 12: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

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Quantity Based on Price Price Item No./ Filed Requirements Item Per Gal. Per Gal. Diesel Fuel by County For 12 Mo. Volume No. 2D 1D Contractor Westchester 185 Diesel Regular 1,718,727 185 $2.0453 $2.2015 Warex Terminals 186 Diesel Premium 1,534,622 186 $2.0628 $2.2015 Warex Terminals 187 ULSD 2D BIO (B5) 178,000 187 $2.1258 $2.1560 Metro Fuel Oil 188 ULSD 2D BIO (B20) 32,000 188 $2.1794 $2.1560 Metro Fuel Oil Wyoming 189 Diesel Regular 43,000 189 $2.0813 $2.2005 NOCO Energy 190 ULSD 2D BIO (B5) 86,000 190 $2.3613 $2.4805 NOCO Energy Yates 191 Diesel Regular 139,000 191 $2.1696 $2.2696 Griffith Energy EMERGENCY DELIVERY PROVISION:

In the event of, and for the duration of, any state of emergency or disaster declared by the Governor, the contractor for any county in which the emergency or disaster is officially declared shall be prepared to provide continuous twenty-four hour service as directed by the State. For the purpose of maintaining necessary communications and services, the contractor has designated, in the space provided below, a primary and, if available, a secondary contact person or title. The contractor guarantees that the persons so designated will be available throughout the emergency.

CONTRACTOR: ADIRONDACK ENERGY PRODUCTS, INC. Guaranteed Delivery: 2 days A/R/O

County Terminal Address Contact Person(s) Title Phone Number(s)

Clinton, Franklin

Malone, NY Brian Monette Vice President 518-483-3835

CONTRACTOR: ASCENT AVIATION GROUP, INC. Guaranteed Delivery: 3 days A/R/O

County Terminal Address Contact Person(s) Title Phone Number(s)

Jefferson, Onondaga,

Oswego

Brewster, NY

Syracuse, NY

April Andrews

“ “

Case Manager

“ “

315-625-7299

1/800-272-3681 CONTRACTOR: GRANITE CAPITAL HOLDINGS INC., D/B/A MIRABITO FUEL GROUP Guaranteed Delivery: 2 days A/R/O

County Terminal Address

Contact Person(s)

Title Phone Number(s)

Broome, Chemung, Chenango, Cortland, Delaware, Herkimer,

Madison, Oneida, Otsego, Schoharie,

Sidney Norwich, Syracuse, Oneonta

Bill Lemakos

Annette Mertz

Dispatcher

Vice President

800-934-9480

607-561-2700

Page 13: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

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EMERGENCY DELIVERY PROVISION: (Cont’d) CONTRACTOR: GRIFFITH OIL CO., INC. Guaranteed Delivery: 3 days A/R/O

County

Terminal Address

Contact Person(s)

Title

Phone Number(s)

Chemung, Clinton, Essex,

Livingston, Monroe, Ontario, St. Lawrence,

Schuyler, Steuben, Tompkins, Wayne, Yates

24 hr. service for

emergencies Non-

Emergency

Night Emergency

Service Paul

Tandlmayer

N/A

Director of Sales

800-955-5992

800-724-2552 585-783-2674

CONTRACTOR: MAIN BROS. OIL CO. Guaranteed Delivery: 1 day A/R/O

County Terminal Address

Contact Person(s)

Title Phone Number(s)

Rensselaer, Schenectady

Albany Dave Borgen Manager 800-542-5552 518-436-4195 X219

Saratoga, Washington

Greenwich Stan Cruden Manager 518-692-2259

Columbia Chatham Gene Sweat Manager 518-392-5191 Greene Catskill Bill Cravsky Manager 518-943-4190

CONTRACTOR: METRO FUEL OIL CORP. Guaranteed Delivery: 3 days A/R/O

County Terminal Address

Contact Person(s) Title Phone Number(s)

Bronx, Kings, Nassau, New

York, Queens, Suffolk,

Westchester

500 Kingsland Ave.

Brooklyn

Scott Alnwick Robert Leavy

Supervisor 718-383-1400

CONTRACTOR: KURK FUELS Guaranteed Delivery: 2 days A/R/O

County Terminal Address

Contact Person(s)

Title Phone Number(s)

Erie,

Niagara, Orleans 78 Sawyer Ave. Tonawanda, NY

Leo Figini

Greg Kurk

Dispatcher

President

716-876-4324, 716-480-3316 716-824-1298

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EMERGENCY DELIVERY PROVISION: (Cont’d) CONTRACTOR: SUNOCO, INC. (R & M), D/B/A MOHAWK HOME COMFORT SERVICES Guaranteed Delivery: 2 days A/R/O

County Terminal Address

Contact Person(s)

Title Phone Number(s)

Broome, Cayuga, Chenango, Cortland,

Fulton, Jefferson, Lewis, Madison,

Onondaga, Oneida, Oswego, Warren,

Cortland, Syracuse,

Marcy, Milton

Russell Hirschey Commercial Sales

315-735-4810 Ext. 3

800-311-9904

CONTRACTOR: NOCO ENERGY CORP. Guaranteed Delivery: 2 days A/R/O

County Terminal Address

Contact Person(s)

Title Phone Number(s)

Erie, Monroe,

Niagara, Orleans 700 Grand

Island Blvd. Tonawanda,

NY

Kevin Galas

Dispatcher 716-504-3308

Allegany, Cattaraugus, Chautauqua,

Genesee, Wyoming

6804 Main St., Cherry Creek,

NY

Jim Abbey Operations Mgr

716-296-5221

CONTRACTOR: PETROLEUM TRADERS Guaranteed Delivery: 2 days A/R/O

County Terminal Address

Contact Person(s)

Title Phone Number(s)

Onondaga Brewerton,

Syracuse Gayle Newton Contract Sales

Manager 260-432-6622 800-348-3705

CONTRACTOR: SHEPARD OIL CO., INC. Guaranteed Delivery: 2 days A/R/O

County Terminal Address

Contact Person(s)

Title Phone Number(s)

Fulton, Hamilton,

Herkimer, Montgomery,

Saratoga

Johnstown, NY Dean Shepard President 518-762-7812

Page 15: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

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EMERGENCY DELIVERY PROVISION: (Cont’d) CONTRACTOR: SPRAGUE ENERGY CORP. Guaranteed Delivery: 2 days A/R/O

County Terminal Address

Contact Person(s)

Title Phone Number(s)

Putnam, Richmond,

Rockland White Plains, NY Customer

Service Dispatch Dept.

N/A 914-328-6710

516-622-7030 516-622-7080

CONTRACTOR: TOWNSEND OIL CORP. Guaranteed Delivery: 2 days A/R/O

County Terminal Address

Contact Person(s)

Title Phone Number(s)

Seneca, Wayne

123 West Main LeRoy, NY

Kevin Brady Burt Davis

Plant Mgr Service Mgr

800-369-8187 585-760-4423 585-760-4424

CONTRACTOR: WAREX TERMINALS CORP. Guaranteed Delivery: 2 days A/R/O

County Terminal Address

Contact Person(s)

Title Phone Number(s)

Albany, Columbia,

Rensselaer

Dutchess, Orange, Putnam, Rockland,

Sullivan, Ulster, Westchester

Newburgh, NY Jonathan Lee Logistics Mgr 914-906-0851

REQUEST FOR CHANGE:

Any request by the agency or contractor regarding changes in any part of the contract must be made in writing to the Office of General Services, Procurement Services Group, prior to effectuation.

CONTRACT PAYMENTS:

Payments cannot be processed by State facilities until the contract products have been delivered in satisfactory condition or services have been satisfactorily performed. Payment will be based on any invoice used in the supplier's normal course of business. However, such invoice must contain sufficient data including but not limited to contract number, description of product or service, quantity, unit and price per unit as well as federal identification number. State facilities are required to forward properly completed vouchers to the Office of the State Comptroller for audit and payment. All facilities are urged to process every completed voucher expeditiously giving particular attention to those involving cash discounts for prompt payment. If the contract terms indicate political subdivisions and others authorized by law are allowed to participate, those entities are required to make payments directly to the contractor. Prior to processing such payment, the contractor may be required to complete the ordering non-State agency's own voucher form. See "Contract Billings" in Appendix B, OGS General Specifications.

Page 16: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

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ELECTRONIC PAYMENTS: The Office of the State Comptroller (OSC) offers an "electronic payment" option in lieu of issuing checks. To obtain an electronic payment authorization form visit the OSC website at www.osc.state.ny.us or contact them by e-mail at [email protected] or by phone at 518-474-4032.

ULSD:

It is the intent of the State to enter into a contract as of August 17, 2007, for ULSD as specified in Specification No. 909.

PRICE:

Price is net, per gallon, F.O.B. agency storage tanks, including all custom duties and charges, and as designated by the ordering agency. It is the contractor's responsibility to satisfy agency requirements by furnishing blended product when called for during the time period indicated in the Detailed Specifications. However, If the contractor extends such allowances during the term of the contract to Federal, State, Local Governments or to commercial users in the normal course of doing business, New York State requires that such allowances will also be available to the State in the maximum amount extended to others who contract to purchase diesel fuel under similar contractual terms and conditions. Contract bid prices shall be firm except that price revisions shall be permitted in accordance with the PRICE REVISIONS clause set forth herein and with respect to certain taxes and duties as follows: "After-imposed tax" means any new or increased Federal, State and local excise tax or duty, except social

security or other employment taxes, on diesel fuel purchased under any contract to be awarded hereunder which the contractor is required to pay or bear the burden of as the result of legislative, judicial, or administrative action taking effect after the date of contract award.

"After-relieved tax" means any amount of Federal, State and local excise tax or duty, except social

security or other employment taxes, that would otherwise have been payable on diesel fuel purchased under any contract to be awarded hereunder which the contractor is not required to pay or bear the burden of, or for which the contractor obtains a refund or drawback, as the result of legislative, judicial or administrative action taking effect after the date of contract award.

The price includes all applicable Federal, State and local taxes and duties as stated in Appendix B under Section 18. NOTE: The State of New York and its political subdivisions are exempt from New York State and local sales taxes and federal excise taxes. The price for diesel fuel under any contract awarded hereunder shall be increased by the amount of any after-imposed tax, unless the legislative, judicial or administrative act says otherwise, if the contractor states in writing that such contract price does not include any contingency for such after-imposed tax. Such increase shall be prospective only and becomes effective upon such written notice and on the effective date of the next scheduled price revision. The price for diesel fuel under any contract awarded hereunder shall be decreased by the amount of any after-relieved tax. Such decrease shall be effective when realized or by no later than the next scheduled price revision. The contract price shall also be decreased by the amount of any excise tax or duty, except social security or other employment taxes that the contractor is required to pay or bear the burden of, or does not obtain a refund for, through the contractor's fault or negligence. The contractor shall promptly notify the PSG Purchasing Officer of all matters relating to any excise tax or duty that reasonably may be expected to result in either an increase or decrease in the contract price for diesel fuel.

PRICE REVISIONS:

Contract bid prices shall be firm except that price revisions will be permitted in accordance with the following procedure:

Page 17: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

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PRICE REVISIONS: (Cont’d) Separate revisions to the original contract price shall be based on prices in the JOC Group Oil Price Daily for Kerosene and Diesel, under the heading, “Daily Petroleum Prices”, Albany Reseller only, which are designated for ultra low sulfur products. 1D and 2D Prices will fluctuate according to the Albany “Ultra Low Sulfur Kero” and “Ultra Low Sulfur Diesel” postings selected.

The simple average of the high and low prices shown in the JOC Group Oil Price Daily postings will be used to compute price revisions during the contract period. Procurement Services Group will compute any price revisions by determining the difference between the Posted Price on March 1, 2007 and the Posted Price on every Thursday during the contract period beginning with the JOC Group Oil Price Daily of August 16, 2007. The aforementioned mechanism for weekly price revisions would then be applied to the contract prices throughout the contract period. Price revisions will be rounded at four (4) decimal places for all price adjustments throughout the contract period. Applicable price changes will be effective as of the start of business on the following Friday. If the prices are not posted on Thursday, the previous business day on which the specified prices are posted will be utilized. The average published price on March 1, 2007 for 1D (ultra low sulfur kero) is $2.1500. The average published price on March 1, 2007 for 2D (ultra low-sulfur) is $2.0108. The terms “Posting Day” or “Posted Price” as used throughout this Award and specification, refers to the actual day the prices are posted.

Should the weekly price revision cycle not provide adequate price adjustments, because of rapid changes in worldwide petroleum prices, the State reserves the right to increase the frequency of the price revisions to a daily basis. The daily basis will utilize postings Monday through Friday with applicable price changes to be effective as of the start of business on the following day. Weekend prices will be based on Friday's posting. The Friday posting will also stay in effect on Monday holidays. Prices in effect for mid week or Friday holidays will be the same as for the preceding day. Also, refer to “NOTE” concerning “Posting Day” below.

NOTE: In the event postings are not posted on a specified “Posting Day”, the “Posting Day” for that week will be

the day previous when postings are available. If on any “Posting Day” only a single price is posted, negating the averaging process, the State normally uses the single posting as both the high and low prices, however, the State reserves the right to utilize the last posting immediately preceding said JOC Group Oil Price Daily in which the missing price was posted until such time as both entries are again posted. Should postings differ from current description and/or format, a posting determined, by the Commissioner in his sole discretion; to be most reflective of market conditions will be used.

Corrections to posted prices previously posted in the JOC Group Oil Price Daily will be considered only when caused by a typographical or clerical error on the part of said service provider.

The following clauses shall apply to all price adjustments under any contract awarded:

(1) Price increases are limited to changes in pre-selected postings as noted above. Increases in contract costs

or prices to compensate for other increases in the cost of doing business, regardless of the cause or nature of such costs of the contractor, will not be allowed during the contract period.

(2) Should the price structure utilized by the parties become unworkable for the State, detrimental or injurious

to the State, or result in prices which are not truly reflective of current market conditions and the price is deemed unreasonable or excessive by the Commissioner, and no adjustment in price is mutually agreeable, the Commissioner reserves the sole right upon 10 days written notice mailed to the contractor to terminate any contract resulting from this bid opening. If the contractor is unable or unwilling to meet contractual requirements in whole or in part, it shall immediately notify the State of that fact in order that the State may take appropriate action. Such notification shall be in writing and shall be directed to the Office of General Services, Procurement Services Group.

Page 18: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

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PRICE REVISIONS: (Cont’d) NOTE (Cont’d) (3) Price adjustments will continue using the same method if the contract is extended. (4) The contract prices are firm but will include “PRICE REVISIONS” which are calculated every Thursday

during contract eriod and or as state herein. See “PRICE REVISIONS” clause in this Award for further explanation. In addition, to view daily contract pricing, visit our website at:

www.ogs.state.ny.us/asp/purchase/snt/fuels/index.asp

PRICE REVISIONS FOR BIODIESEL:

The price revision procedure for 1D to be used for winter mixes with B5 and B20 BioDiesel shall be the same as described above in “Price Revisions” and “NOTE”. The price revision procedure for B5 and B20 BioDiesel will be as follows:

The B5 BioDiesel pricing shall be based on 95% of the low-sulfur diesel average as described above plus

5% of the soybean oil price based on the price of soybean oil per pound as shown in The Wall Street Journal's “Cash Prices - Fats and Oils” for each Thursday's Posted Prices, using a multiplier of 7.6465 to convert to gallons.

The B20 BioDiesel pricing shall be based on 80% of the low-sulfur diesel average as described above plus

20% of the soybean oil price based on the price of soybean oil per pound as shown in The Wall Street Journal's “Cash Prices - Fats and Oils” for each Thursday's Posted Prices, using a multiplier of 7.6465 to convert to gallons.

The Procurement Services Group will compute any price revisions by determining the difference between the combined posted prices on Thursday, March 1, 2007 and the combined posted prices on every Thursday during the contract period beginning with the publication of August 16, 2007. Applicable price changes will be effective as of the start of business on the following Friday. If the prices are not posted on Thursday, the previous business day on which the specified prices are posted will be utilized.

B5:

The average posted price for Thursday, March 1, 2007 for soy bean oil is $.2963/lb. Using the multiplier of 7.6465, that converts to a price of $2.2657/gal. for soybean oil. Five percent (5%) of that figure ($.1133) plus 95% of the 2D base of 2.0108 ($1.9103) yields a March 1, 2007 base price for B5 fuel of $2.0236/gal. In order to arrive at the adjustment for B5 fuel for a future week, subtract the current base price for Thursday March 1, 2007 ($2.0236) from the current week’s combined average price (for example 2.0536/gal.), which yields a price change of +$.0300/gal. for B5 Biodesel.

B20:

The average posted price for Thursday, March 1, 2007 for soybean oil is $.2963/lb. Using the multiplier of 7.6465, that converts to a price of $2.2657/gal. for soybean oil. Twenty percent (20%) of that figure ($.4531) plus 80% of the 2D base of $2.0108 ($1.6086) yields a March 1, 2007 base price for B20 fuel of $2.0617/gal. In order to arrive at the adjustment for B20 fuel for a future week, subtract the current base price for Thursday, March 1, 2007 ($2.0617) from the current week's combined average price (for example, $2.0917/gal.) which yields a price change of +$.0300/gal. for B20 BioDiesel.

All other terms and conditions state above in "Price Revisions" and "NOTE" will apply to BioDiesel also.

Page 19: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

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NON-STATE AGENCIES PARTICIPATION IN CENTRALIZED CONTRACTS: New York State political subdivisions and others authorized by New York State law may participate in contracts. These include, but are not limited to local governments, public authorities, public school and fire districts, public and nonprofit libraries, and certain other nonpublic/nonprofit organizations. See "Participation in Centralized Contracts" in Appendix B, OGS General Specifications. For purchase orders issued by the Port Authority of New York and New Jersey (or any other authorized entity that may have delivery locations adjacent to New York State), the terms of the "Price" clause shall be modified to include delivery to locations adjacent to New York State. Upon request, all eligible non-State agencies must furnish contractors with the proper tax exemption certificates and documentation certifying eligibility to use State contracts. A list of categories of eligible entities is available on the OGS web site (www.ogs.state.ny.us). Questions regarding an organization's eligibility to purchase from New York State Contracts may also be directed to OGS Procurement Services Group's Customer Services at 518-474-6717.

NOTE: RE: NONGOVERNMENTAL EXEMPT ORGANIZATIONS:

The State of New York, its agencies, instrumentalities and, political subdivisions are exempt from sales tax, excise taxes, and pass-through of the petroleum business tax. The same is not true of the nongovernmental participants. Certain nongovernmental participants are exempt from sales tax when purchasing most commodities available under the OGS contracts. To obtain exempt status the organization must apply to the Tax Department and must receive an Exempt Organization Certificate and exemption number. When claiming exemption on purchases, the exempt organization must provide a properly completed Exempt Organization Certification to its suppliers. However, the tax exempt status of these organizations does not extend to purchases of petroleum products. Nongovernmental exempt organizations, other than hospitals, must, when purchasing gasoline and diesel motor fuel, pay the sales and excise taxes to their suppliers and apply to the Tax Department for refund. Suppliers selling petroleum products to nongovernmental exempt organizations must include such sales in computing their petroleum business tax liability. There is no exemption provided in the petroleum businesses tax for sales to nongovernmental organizations. Additionally, the law does not provide a refund to these organizations for any petroleum business tax passed through to them.

PSG's DISPUTE RESOLUTION POLICY:

It is the policy of the Office of General Services’ Procurement Services Group (PSG) to provide vendors with an opportunity to administratively resolve disputes, complaints or inquiries related to PSG bid solicitations or contract awards. PSG encourages vendors to seek resolution of disputes through consultation with PSG staff. All such matters will be accorded impartial and timely consideration. Interested parties may also file formal written disputes. A copy of PSG’s Dispute Resolution Procedures for Vendors may be obtained by contacting the person shown on the front of this document or through the OGS website (www.ogs.state.ny.us).

EXTENSION OF USE:

Any contract awarded hereunder may be extended to additional States or governmental jurisdictions upon mutual written agreement between New York State (the lead contracting State) and the contractor. Political subdivisions and other authorized entities within each participating State or governmental jurisdiction may also participate in any resultant contract if such State normally allows participation by such entities. New York State reserves the right to negotiate additional discounts based on any increased volume generated by such extensions.

INVOICES:

In billing for winter mixes, invoices will include current contract price for each grade, type mixture furnished and computation of total price.

EXAMPLE - Delivery of 4000 gallons of 2D/1D winter mix at a 1/1 ratio: 2,000 gals. x Adjusted 2D price = total cost of 2D product +2,000 gals. x Adjusted 1D price = total cost of 1D product Invoice Total = total cost for delivery

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DELIVERY: Delivery shall be expressed in number of calendar days required to make delivery after receipt of a purchase order. Product is required as soon as possible and guaranteed delivery may be considered in making award. Delivery shall be made in accordance with instructions on Purchase Order from each agency. If there is a discrepancy between the purchase order and what is listed on the contract, it is the contractor’s obligation to seek clarification from the ordering agency and, if applicable, from the Office of General Services, Procurement Services Group.

MINIMUM DELIVERY:

Minimum delivery shell be not less than 250 gallons to each tank at each delivery location (site) as determined by the delivery schedule. Purchases of less than minimums qualify for contract pricing at vendor's discretion, including tank top-offs for tank testing. However, in no case shall pricing exceed contractor's normal retail pricing for purchase of less than 250 gallons, regardless of delivery circumstances.

GUARANTEE:

The contractor guarantees to furnish adequate protection from damage to agency’s buildings, grounds and/or equipment occurring on account of or in connection with, or occasioned by, or resulting from the furnishing and delivering of diesel engine fuel under this contract and shall be liable for any damages for which he or his employees are responsible. This liability includes but is not limited to oil spills occurring during delivery. The contractor shall provide constant surveillance during delivery by having a person in attendance at all times at the point of transfer. Oil spills shall be immediately reported to the agency Business Office to affect contact with a representative of the Department of Environmental Conservation. A call can be placed twenty-four hours a day with the New York State Oil Spill Hotline at 1-800-457-7362.

SERVICES:

Contractor must be prepared at all times to furnish engineering service, when so requested and to investigate and report to the using agency and this Division on any complaint that might arise in connection with the use of contractor’s Diesel Fuel in State equipment. This engineering service will include but not be limited to the diagnosis of fuel related engine problems in the agency’s equipment.

FILL AND VENT REQUIREMENTS:

Agencies must ensure that fill and vent equipment adequately meet NYS Standards. Contractors have the responsibility of reporting faulty equipment to the end users and the appropriate NYS regulatory agencies.

NOTE:

Contractor's delivery trucks WILL BE EQUIPPED WITH METERS, with the exception of motor transports, to accurately measure quantities delivered. Metered deliveries must be accompanied by a delivery ticket showing brand or grade and number of gallons delivered. Supplementing Articles 45 and 46 of Appendix B, General Specifications for Procurement Contracts, orders will call for delivery within a specified number of days after date of order. As much time as possible will be allowed the contractor for making deliveries; however, the contractor shall be in a position to make bulk deliveries within 24 hours after receipt of order. Contractor must be prepared, at all times, to make prompt delivery as ordered. In emergencies, fuel must be delivered within twenty-four (24) hours of notification. Contractors must be prepared to deliver in a timely manner, on a one time basis per Agency tank, that amount of fuel oil necessary to fill subject tanks for the purpose of tank testing conducted by the Office of General Services at various locations providing minimum order requirements are met. (See “MINIMUM DELIVERY” clause). Normal deliveries are considered to be Monday thru Friday. Saturday/Sunday deliveries are to be made on an emergency basis (and not a regular basis) ONLY.

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NOTE: (Cont’d) Agencies are responsible for making certain that the delivery site is made ready for proper delivery by the contractor. Failure of the agency to make appropriate arrangements preventing delivery of product upon contractor’s arrival at delivery site may result in a charge to the agency for the contractor’s transportation costs for that particular trip. Agencies should also make certain that receiving personnel are available at time of delivery. Agencies should also refer to CL-687 dated February 20, 2007 as they are responsible for the implementation of monitoring programs to insure compliance by supplier with these specification requirements.

TOPPING OFF TANKS:

Agency requests to top-off tanks for testing purposes must be honored as described elsewhere herein. The requesting agency may be required to sign a waiver of liability and responsibility on behalf of the contractor. Contractor must maintain service facilities and have trained personnel qualified to service the product furnished at the using agency within 48 hours.

ESTIMATED QUANTITIES:

The quantities or dollar values listed are estimated only and represent approximately 12 month volume. See "Estimated/Specific Quantity Contracts" and "Participation in Centralized Contracts" in Appendix B, OGS General Specifications.

CONTRACT PERIOD AND RENEWALS:

It is the intention of the State to enter into a contract for the term as stated on the Invitation for Bids. The commencement and termination dates appearing on the Invitation for Bids may be adjusted forward unilaterally by the State for any resulting contract for up to two calendar months, by indicating such change on the Contract Award Notification. The contract dates may be adjusted forward beyond two months only with the approval of the successful bidder. If, however, the bidder is not willing to accept an adjustment of the contract dates beyond the two month period, the State reserves the right to proceed with an award to another bidder. If mutually agreed between the Procurement Services Group and the contractor, the contract may be renewed under the same terms and conditions for additional period(s) not to exceed a total contract term of five (5) years.

SHORT TERM EXTENSION:

In the event the replacement contract has not been issued, any contract let and awarded hereunder by the State, may be extended unilaterally by the State for an additional period of up to one month upon notice to the contractor with the same terms and conditions as the original contract including, but not limited to, quantities (prorated for such one month extension), prices, and delivery requirements. With the concurrence of the contractor, the extension may be for a period of up to three months in lieu of one month. However, this extension terminates should the replacement contract be issued in the interim.

WARRANTIES:

See "Warranties" in Appendix B, OGS General Specifications. RESERVATION:

The State reserves the right to negotiate lower pricing, or to advertise for bids, any unanticipated excessive purchase. An "unanticipated excessive purchase" is defined as an unexpected order for a contract product(s) totaling more than $50,000.00.

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REPORT OF CONTRACT PURCHASES: Contractor shall furnish report of purchases made from contract the fifteenth of the month following the end of each six month period. The reports shall be in the following format:

Item/

SubItem Number

Product or Catalog

Number

Product/ Service

Description

Total

Quantity Shipped

Total $ Value

The report is to be submitted to the Office of General Services, Procurement Services Group, Tower Bldg., Empire State Plaza, Albany, NY 12242, to the attention of the individual shown on the front page of the Contract Award Notification and shall reference the Group Number, the Invitation for Bids Number, Contract Number, sales period, and contractor's name. Additional related sales information, such as monthly reports, and/or detailed user purchases may be required and must be supplied upon request. Failure to submit the required report may be cause for disqualification of contractor for future contracts.

SAMPLES TO BE SUBMITTED BY BIDDER/CONTRACTOR:

The bidder/contractor may be required to submit samples. See "Samples" in Appendix B, OGS General Specifications.

EMERGENCY PURCHASING:

In the event that a disaster emergency is declared by Executive Order under Section 28 of Article 2-B of the Executive Law, or that the Commissioner determines pursuant to his/her authority under Section 163(10)(b) of the State Finance Law that an emergency exists requiring the prompt and immediate delivery of products or services, the Commissioner reserves the right to obtain such products or services from any source, including but not limited to this contract, as the Commissioner in his/her sole discretion determines will meet the needs of such emergency. Contractor shall not be entitled to any claim or lost profits for products or services procured from other sources pursuant to this paragraph.

NEW YORK STATE PROCUREMENT CARD:

See "Procurement Card" in Appendix B, OGS General Specifications. All bidders shall indicate if they will accept the NYS Purchasing Card for orders not to exceed $10,000 (see Questions at end of bid document).

AUTOMATIC REPLENISHMENT:

After having received a written request from the purchaser for “automatic replenishment” the contractor will comply at its option and shall notify agency accordingly.

Page 23: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

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GRADE - TEMPERATURE SCHEDULE: The contractor will be responsible for delivery of straight 1D, straight 2D or straight BioDiesel, or any blend of 1D and 2D or BioDiesel as listed in the Detailed Specifications. Agencies desiring a mix other than normally required under these specifications must notify the Office of General Services and the contractor in writing of the specific mix desired. Also, unless the agency specified otherwise when ordering, the contractor will adhere to the following schedule:

Grade/Mix Temperatures Costing Formula #2D/Biodiesel Spring/Summer/Early Fall* Current Contract Price (above 20°F ambient). *Early Fall - used up to October #1D Winter (coldest areas) Current Contract Price. (sub zero ambient to -40°F). #2D/Biodiesel/1D Winter Mix: Current Contract Price See Low Temperature Operability/ for respective gallon- Performance Characteristics under age of each grade Detailed Specifications section supplied. herein. SAMPLING OF DIESEL FUEL OIL:

Fuel oil delivered shall be subject to sampling and testing at the discretion of the purchasing Agency and/or the OGS Procurement Services Group. Normally, all samples collected for testing should be taken from delivery truck at the time of delivery. The samples shall be collected in accordance with ASTM D4057-06(95) [IP #MPMS (Chapter 8.1)], or latest revision thereof. The usual method of sampling is a three-way bottle/container sampling taken at an upper, middle, and a lower sample point from the delivery vehicle. The sample container is a normally closed stopper type and operator opens it at each point to obtain a proportional amount of the sample. Product samples taken at the Agency’s dispensing pump shall be considered representative of a disputed fuel oil delivery, when the contractor has delivered one or more consecutive loads of fuel oil to the tank’s content which is in dispute. Additionally, when the purchasing Agency’s documentation indicates that previously delivered fuel oil is less than five percent of the tank’s fuel oil volume following any disputed delivery, and the previously delivered fuel oil performed and/or tested satisfactorily, then a sample taken from the pump shall be considered representative of the fuel oil delivered.

NON-COMPLYING PRODUCT - DELIVERY:

Deliveries of fuel oil may be sampled at the contractor’s loading point or at the point of delivery by a representative of the Office of General Services, Procurement Services Group and/or the purchasing Agency’s personnel. The methods of sampling and testing will be as listed elsewhere herein. When it is found that fuel oil delivered does not comply with the specification requirements, the contractor, at its own cost and expense, may be required to remove all such sub-standard fuel oil from the purchaser’s tank(s) and replace it with fuel oil meeting the specifications, if such removal is so instructed by the Office of General Services, Procurement Services Group within a maximum time period of twenty-four (24 hrs) hours. When an inspection of the tank(s) after the removal of the sub-standard product indicates that the delivered product has rendered the tank(s) unsuitable for use, then the contractor may be responsible for cleaning of the tank(s) so affected, if such cleaning is so instructed by the Office of General Services, Procurement Services Group.

Page 24: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

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NON-COMPLYING PRODUCT - DELIVERY: (Cont’d)

The State may cancel the contract and may purchase the balance of the contract quantities in the open market at the contractor’s expense, if, in the opinion of the Commissioner of General Services, the fuel delivered fails to meet the specific requirements; or, if the fuel is found to contain objectionable dirt, water or excess sediment; and/or an excessively high cold filter plugging point.

NON-COMPLYING PRODUCT - DELIVERY-OPERABILITY/PRICE-DEDUCTIONS:

Deductions shown hereafter will be made from the invoice price, or subsequent agency invoices, for delivering fuel oil that does not comply with the detailed specifications, whether or not the fuel oil in question has been consumed by the purchasing Agency. These deductions shall be a flat rate per fill incident, adjusted for the number of non-complying delivery incidents at an individual tank.

Equipment shall be operable (regardless of weather conditions) when fueled from a delivery made within the last (preceding) thirty days. A deduction shall be assessed for each tank fill incidence which causes inoperability of equipment using that delivered fuel. This inoperability deduction shall be in addition to the “PRICE DEDUCTION” assessed for not complying to one (or more) of the NON-COMPLYING PRODUCT characteristics stated hereinafter.

NON-COMPLYING PRODUCT - FLASH POINT - PRICE DEDUCTION:

When the delivered fuel oil’s flash point is found to be greater than four (4°F) degrees Fahrenheit lower than the specified requirement, a deduction from the contracted invoice price shall be taken as stated in the “PRICE DEDUCTION TABLE” found elsewhere within this solicitation's documents.

NON-COMPLYING PRODUCT - WATER & SEDIMENT CONTENT - PRICE DEDUCTION:

When the delivered fuel oil’s water and sediment content is found to be greater than five hundredths (0.05%) of a percent above the specified requirement, a deduction from the contracted invoiced price shall be taken as stated in the “PRICE DEDUCTION TABLE” found elsewhere within this solicitation's documents.

NON-COMPLYING PRODUCT - VISCOSITY - PRICE DEDUCTION:

When the delivered fuel oil’s viscosity is found to be greater than two (2) seconds above the specified maximum requirement, a deduction from the contracted invoiced price shall be taken as stated in the “PRICE DEDUCTION TABLE” found elsewhere within this solicitation's documents.

NON-COMPLYING PRODUCT - SULFUR CONTENT - PRICE DEDUCTION:

When the delivered fuel oil’s sulfur content is found to be greater than 0.0018% a deduction from the contracted invoiced price shall be taken as stated in the “PRICE DEDUCTION TABLE” found elsewhere within this solicitation's documents. If any delivered product is found to contain incorrect dye, then all fuel in the tank shall be removed and replaced with an equal quantity of (clear or red dyed, tax exempt) complying product. The deduction shall be assessed regardless of whether the non-complying fuel oil delivery is removed or not removed.

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NON-COMPLYING PRODUCT - CETANE INDEX - PRICE DEDUCTION:

When the delivered fuel oil’s cetane index is found to be greater than two (2) cetane below the specified minimum requirement/s (i.e., 40 and/or 43.5), a deduction from the contracted invoiced price shall be taken as stated in the “PRICE DEDUCTION TABLE” found elsewhere within this solicitation's documents. The deduction shall be applied to Calculated Cetane Index deficiencies and/or Engine Cetane Index deficiencies. The State may consider waiving these deductions (or adjusting them) if certified documentation of fuel quality is provided for fuel containing adequate additives. The State reserves the right to require engine Cetane testing at the contractor’s expense when calculated Cetane is lower than the specified Cetane Index.

NON-COMPLYING - ASH CONTENT - PRICE DEDUCTION:

When the delivered fuel oil’s ash content is greater than fifteen thousandths of a percent (0.015%), a deduction from the contracted invoiced price shall be taken as stated in the “PRICE DEDUCTION TABLE” found elsewhere within this solicitations documents.

NON-COMPLYING PRODUCT - COLD FILTER PLUGGING POINT (CFPP) TEMPERATURE - PRICE DEDUCTION:

When the delivered fuel oil’s Cold Filter Plugging Point (CFPP) temperature is found to be greater than one (1°C) degree Centigrade above the specified maximum requirement for the respective delivery area and delivery period, a deduction from the contracted invoiced price shall be taken as stated in the “PRICE DEDUCTION TABLE” found elsewhere within this solicitation's documents.

The deduction shall be assessed regardless of whether the non-complying fuel oil delivery is removed or not removed and regardless of equipment operability. If equipment is not operable because of failure of the supplier/contractor to adjust fuel and additive mix to ensure proper operation in a respective temperature period/zone, then a deduction shall be charged in addition to the preceding CFPP deduction and/or regardless of whether or not the preceding CFPP deduction is assessed.

Page 26: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

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PRICE DEDUCTION TABLE

(NON-COMPLYING PRODUCT & OPERABILITY TABLE FOR PRICE DEDUCTIONS)

Description of Non-Complying Characteristic

Limiting

Value

Respective Amount

of Deduction

Equipment Operability

Respective Amount

of Deduction FLASH POINT Type: #1D #2PD/1D&2D/1D #2D & 2PD

LESS THAN 116°F 118°F 121°F

1st incident charged at $250.00 per

tank fill*;

WHENEVER

USE OF

1st incident charged at $250.00 per

tank fill*;

WATER AND SEDIMENT

greater than 0.07%

DELIVERED

VISCOSITY (max) SUS at 100°F: Type: #1D: #2D & 2PD

greater than

35 S 40 S

2nd incident charged at

$500.00 per tank fill*;

DIESEL

FUEL

2nd incident charged at

$500.00 per tank fill*;

SULFUR CONTENT (.0018%, Max)

greater than 0.0018%

CAUSES

CETANE INDEX NO. Calculated: Engine:

less than 40 CCI 43.5 CI

EQUIPMENT

ENGINE(S)

ASH, % mass 0.01% (max):

greater than 0.015%

TO NOT

COLD FILTER PLUGGING POINT For OCTOBER Use For NOVEMBER Use For DECEMBER Use For JANUARY Use For FEBRUARY Use For MARCH Use

greater than **North/South -12°C/-10°C -17°C/-14°C -30°C/-23°C -33°C/-25°C -33°C/-24°C -25°C/-18°C

Three or more incidences, charged at

$750.00 per tank fill*.

OPERATE

(SHUTDOWN),

DEDUCT THE

FOLLOWING:

Three or more incidences, charged at

$750.00 per tank fill*.

* “Tank fill”, as used in this Table, shall be an individual (drop) fuel delivery into a purchasing facility’s fuel

storage tank by the contractor’s authorized delivery vehicle. ** “North/South”, as used in this Table, shall respectively designate the temperature limits for facilities which are

located north of 42° latitude and others which are located south of 42° latitude.

DETAILED SPECIFICATIONS FOR STANDARD PETROLEUM DIESEL FUEL

Address inquiries relative to Detailed Specifications to Procurement Services Group, Telephone Number 518-474-9621, Attn: Russell Patton.

SCOPE:

This specification shall describe various Diesel Engine Fuel Oils for use at various State and Non-State agencies throughout New York State for on-road use only. The product shall be contractor furnished, delivered and unloaded as specified under “PRICE” section in the Specification General Information clauses.

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DETAILED SPECIFICATIONS (Cont’d) SCOPE: (Cont’d)

Additionally, this group specification shall describe respective sampling methods, testing methods, applicable price deductions, and removal & replacement requirements as they apply to non-complying and/or unacceptable product.

ACRONYMS AND DEFINITIONS: ASTM: The acronym, “ASTM” shall be used as a designation for the American Society for Testing and Materials. CFPP: The acronym, “CFPP” shall be used as a designation for the Cold Filter Plugging Point of the fuel. IP: The acronym, “IP” shall be used as a designation for the Institute of Petroleum. 1D (1-D) The symbols 1D and/or 1-D shall be used as a grade designation for light distillate diesel fuel oils used in

vehicular diesel engines and in higher volatility applications than provided by grade 2-D fuel oils. 2D (2-D) The symbols 2D and/or 2-D shall be used as a grade designation for middle distillate diesel fuel oils used in

vehicular diesel engines and in non-vehicular applications having frequently varying loads and speeds. 2PD (P-D) The symbols 2PD and/or 2-PD shall be used as a grade designation for premium distillate diesel fuel oils used in

vehicular diesel engines & in non-vehicular applications having frequently varying loads & speeds along with requirements for higher cetanes, special enhancers & inhibitors.

UNIVERSAL DETAILS

All products provided shall be homogenous fuel oil, suitable for diesel engines, and they shall conform to the requirements of ASTM D975-6b, Table 1, or latest revision thereof, except as listed differently elsewhere herein.

NOTE: All test references shall be ASTM method, as indicated herein, or approved equivalents.

DYE MARKER CONTENT:

All product provided shall be free of visible evidence of the blue dye 1.4-diakylamino-anthraquinone. This requirement shall be in full compliance with Federal CCA*, Part 80, Section 80.29 & State NYCRR, or latest revisions thereof. EXCEPTION: Federally tax exempt fuel may be dyed red using solvent red dye 164. RED-DYED FUEL MUST BE PROVIDED FOR CUSTOMERS REQUESTING IT, AT CONTRACT PRICE!

*CCA = Clean Air Act FLASH POINT:

The specified minimum Flash Point for Fuel Oils provided under this contract shall be: 120°F for 1D; 122°F for 2PD/1D and 2D/1D (50/50 blend); and 125°F for 2D and 2PD. Delivered product having a flash point below the respective requirement given above, shall be adjusted in price as stated elsewhere herein for NON-COMPLYING PRODUCT.

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DETAILED SPECIFICATIONS (Cont’d)

UNIVERSAL DETAILS: (Cont’d) FLASH POINT: (Cont’d)

Delivered product having a flash point greater than ten (10°F) degrees Fahrenheit below the specified minimum shall be removed from the purchasing agency’s tank and replaced with product conforming to specifications. The Flash Point shall be determined using ASTM Test Method D93-06 (IP #34/85), or latest revision thereof, Flash Point by Pensky-Martens Closed Tester.

WATER AND SEDIMENT:

The intended Water & Sediment (W & S) content for Fuel Oils provided under this contract shall be two hundredths (0.02% V/V) of a percent. Delivered product having a water & sediment content greater than five hundredths (0.05% V/V) of a percent shall be adjusted in price as stated elsewhere herein for NON-COMPLYING PRODUCT. Delivered product having a water & sediment greater than five hundredths (0.05% V/V) of a percent shall be removed from the purchasing agency’s tank and replaced with product conforming to specifications, at purchasing agency’s discretion based on excessive filter maintenance and/or poor vehicle performance. The Water & Sediment content shall be determined using - ASTM Test Method D1796-04 (IP #75/82), or latest revision thereof. Product with W & S over 0.02% V/V but not over 0.05% V/V shall have additives ensuring smooth engine combustion and may be considered for this solicitation. A haze rating @ 25°C (77F) shall be a maximum of 2 using ASTM Method D4176-04E1 (Procedure 2) or latest revision thereof.

VISCOSITY:

The specified maximum Viscosity for Fuel Oils provided under this contract shall be: thirty three (33 SUS @100°F) Saybolt Universal Seconds at one hundred degrees Fahrenheit, maximum, for 1-D fuel oil; and thirty eight (38 SUS @100°F) Saybolt Universal Seconds at one hundred degrees Fahrenheit, maximum, for 2-D and 2-PD fuel oils. Delivered product having a viscosity greater than 33 SUS @ 100°F or 38 SUS @ 100°F, respectively, shall be adjusted in price as stated elsewhere herein for NON-COMPLYING PRODUCT. Delivered product having a viscosity greater than 35 SUS @ 100°F for 1-D; or 40 SUS @ 100°F for 2-D or 2-PD shall be removed from the purchasing agency’s tank and replaced with product conforming to specifications, at purchasing agency’s discretion based on excessive filter maintenance and/or poor vehicle performance. The Viscosity shall be determined using ASTM Test Method D445-06 (IP #71/84), or latest revision thereof; and ASTM D2161-05, 1999e2, conversion of Kinematic Viscosity to Saybolt Universal Seconds (Table 1), or latest revision thereof relative to the individual characteristics of the product being tested.

CLOUD POINT:

The maximum cloud point temperature shall be equal to the tenth percentile minimum ambient temperature listed elsewhere herein under the heading LOW TEMPERATURE OPERABILITY PERFORMANCE. The maximum cloud point temperature for product, delivered from APRIL through the Summer use period, shall be thirty one (31°F) degrees Fahrenheit [minus five tenths (-0.5°C) of a degree Centigrade]. The Cloud Point shall be determined using ASTM Test Method D2500-05 (IP #219/82), or latest revision thereof; or ASTM D3117-03, alternate method in accordance with ASTM D975-06B procedures.

COLD FILTER PLUGGING POINT (CFPP):

The specified maximum CFPP for low temperature operability/performance of fuel oils provided under this contract shall be twenty seven (27°F) degrees Fahrenheit [fifteen (15°C) degrees Centigrade] below the specified cloud point. The CFPP shall be determined using Institute of Petroleum Test Method IP #309/83, or latest revision thereof relative to the individual characteristics of the product being tested. This method is technically equivalent to the British Standard BS6188 and European Standard EN116.

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DETAILED SPECIFICATIONS (Cont’d)

UNIVERSAL DETAILS (Cont’d) COLD FILTER PLUGGING POINT (CFPP): (Cont'd)

Delivered product having a CFPP temperature greater than one (1°C) degree Centigrade above the maximum but less than seven and one-half (7.5°C) degrees Centigrade above the maximum shall be adjusted in price as stated elsewhere herein for NON-COMPLYING PRODUCT. Delivered product having a CFPP temperature of seven and one-half (7.5°C) degrees Centigrade, or greater, above the maximum shall be removed from the site upon the State’s request and the contractor shall pay a price penalty as stated elsewhere herein regardless of whether the fuel oil delivery is removed or not removed. Respective CFPP temperatures shall be listed elsewhere herein.

SULFUR:

The specified maximum Sulfur content for Fuel Oils provided under this contract shall be fifteen ten thousandths of a percent, per table which follows. Delivered product having a sulfur content greater than fifteen ten thousandths of a percent (.0015%) shall be adjusted in price as stated elsewhere herein for NON-COMPLYING PRODUCT. Delivered product having a sulfur content greater than that allowed by NYCRR, Title 6 Environmental Conservation Law, Chapter III Air Resources, Subchapter A, Subpart 225-1.2.(d) Table 2 shall be removed from the purchasing agency’s tank and replaced with product conforming to specifications. The Sulfur content shall be determined using ASTM D2622-05, or ASTM D4294-03; or latest revisions thereof relative to the individual characteristics of the product being tested.

SUMMARY OF SULFUR CONTENT (REQUIREMENTS)

Geographical Area of the State Percent of Sulfur by Weight (Maximum) Statewide Highway Vehicles: 0.0015% (fifteen ten thousandths of a percent). TYPE OF USE REQUIREMENTS:

Effective 15 October 2006 the maximum sulfur content shall be .0015% (fifteen ten thousandths of a percent) for all diesel fuel used in highway vehicle motors. This shall apply to all highway vehicles (diesel engine) Statewide. All off-highway equipment motors shall comply with the prior geographical area requirements for sulfur content, or engine manufacturer’s recommendation whichever is stricter.

CETANE RATING:

The specified minimum cetane value for Fuel Oils provided under this contract shall be a forty-two (42.0 CCI) Calculated Cetane Index. Delivered product having a calculated cetane index below forty two (42.0) CCI shall be adjusted in price as stated elsewhere herein for NON-COMPLYING PRODUCT. Delivered product having a calculated cetane index below forty (40.0) CCI shall be removed from the purchasing agency’s tank and replaced with product conforming to specifications. The Calculated Cetane Index value shall be determined using ASTM Test Method D976-06 (IP #364/84), or latest revision thereof; or ASTM D4737-04, or latest revision thereof; relative to the individual characteristics of the product being tested. When a given sample is determined to be in non-compliance of either or both (Calculated & Engine) Cetane Index requirements, then the greater deviation shall be the figure used for the price deduction requirements; except when the Engine Cetane Index exceeds its specified requirement, the “Non-Complying Product - Cetane Content/Price Deduction” shall be waived.

ASH:

The specified maximum ASH content for Fuel Oils provided under this contract shall be one hundredth (0.01%) of a percent, maximum by weight. Additionally, a product having an excessive ash content shall be removed and/or adjusted in price as specified elsewhere herein. The Ash content shall be determined using ASTM Test Method D482-03 (IP #4/81), or latest revisions thereof - relative to the individual characteristics of the product being tested.

Page 30: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

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DETAILED SPECIFICATIONS (Cont’d)

UNIVERSAL DETAILS (Cont’d) ASH: (Cont'd)

Delivered product having an ash content above the maximum by greater than two thousandths (0.002%) of a percent above the maximum but less than one tenth (0.10%) of a percent above the maximum shall be adjusted in price as stated elsewhere herein for NON-COMPLYING PRODUCT. Delivered product having an ash content of one tenth (0.10%) of a percent by weight, or greater, above the maximum specified shall be removed from the site upon the State’s request and the contractor shall pay a price penalty as stated elsewhere herein regardless of whether the fuel oil delivery is removed or not removed. Respective ash contents shall be listed elsewhere herein.

DIESEL FUEL OIL REQUIREMENTS:

The fuel oil supplied under this contract shall meet the universal details listed previously, the seasonal and other listed requirements which follow: The fuel oil supplied shall be visually free of undissolved water, sediment, suspended matter, and shall be clear & bright at the ambient temperature, or seventy (70°F) degrees Fahrenheit, whichever is higher. Fuel oil supplied shall NOT contain any alcohol. The winter mix diesel fuel oil, regular, premium, and biodiesel supplied shall meet their respective requirements as listed elsewhere herein. In addition, these grades of fuel oil shall conform to the “LOW TEMPERATURE OPERABILITY PERFORMANCE” requirements listed later herein.

GRADE 2D (2-D), DIESEL (REGULAR) FUEL OIL:

Grade 2D fuel oil shall meet specifications listed previously herein & it shall be suitable for use in spring/summer/fall climate conditions.

GRADE 1D (1-D), DIESEL FUEL OIL:

The Grade 1D fuel oil shall meet the specifications listed previously herein and it shall be suitable for use during winter (sub zero) climate conditions. Kerosene (1- K) meeting and/or exceeding the parameters stated herein for 1D will be considered in lieu of 1D as part of this specification/solicitation.

GRADE 2D/1D, WINTER MIX (REGULAR DIESEL/KERO) DIESEL FUEL OIL:

The Grade 2D/1D, Winter Mix, fuel oil shall meet the specifications listed previously herein and it shall be suitable for use during winter (purchasing Agency’s local ambient temperature) climate conditions. It shall be proportioned to provide a cloud point equal to the tenth (10th) percentile minimum ambient temperature expected for the region and period of use.

GRADE 2PD/1D (WINTER MIX), PREMIUM DIESEL FUEL OIL:

The Winter Mix Premium Grade Diesel Fuel Oil shall be a homogenous mixture of the base diesel fuel oils (1D & 2D) and specific purpose additives formulated to improve overall product performance. The additives shall be comparable to those stated for 2PD hereinafter and the aforementioned heading, ADDITIVE (MULTI-PURPOSE DIESEL FUEL WINTERIZATION).

GRADE 2PD, PREMIUM DIESEL FUEL OIL:

The Premium Grade Diesel Fuel Oil shall be a homogenous mixture of 2D base diesel fuel oil and specific purpose additives formulated to improve overall product performance. The additives are as follows:

Detergents - shall be included to remove gum and/or varnish build-up on fuel system components. They shall

carry removed substances to the fuel filter where the substances are separated from the product. At the injectors they shall dissolve and remove combustion deposits from the orifice tip, maintaining required spray patterns for proper combustion. Detergents shall meet the parameters of CRC L-10 Superior Maximum Demerit Rating requirements (10 max.)

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DETAILED SPECIFICATIONS (Cont’d)

UNIVERSAL DETAILS (Cont’d) GRADE 2PD, PREMIUM DIESEL FUEL OIL: (Cont'd) Corrosion/Rust Inhibitors - shall be included to prevent the rusting and/or corroding of the cleansed surfaces in the

fuel system. The presence of the required corrosion inhibitors in the fuel oil shall be determined using NACE (National Association of Corrosion Engineers) standard test method number TM0172. This method is an “A” - spindle test having a grading range from “A” through “E”; “A” indicating no corrosion and “E” indicating extreme corrosion. The Premium Diesel Fuel Oil supplied shall have a rating of B5++0, or better, when tested by this method.

Stabilizer - shall inhibit oxidation of the fuel oil, reducing darkening & sludge formation in the fuel oil as it ages

(during prolonged storage periods). The presence of the required stabilizer (degradation inhibitors) in the fuel oil shall be determined using Dupont’s standard test method number F2161. This method is a thermally accelerated degradation process which measures stability based on substance accumulation on a ten micron filter which is compared to a standardized chart. The Premium Diesel Fuel Oil supplied shall have a rating of seven (7), or lower, when tested by this method.

De-hazer - shall remove any traces of moisture that might be suspended in the fuel oil mixture and/or any ambient

moisture which might condense in the product. it shall disperse/separate such moisture (water) from the fuel and result in fuel oil clarity.

Visual Indicator - should be included in all premium diesel fuel oil. The indicator shall be a fluorescent dye

which is clearly distinguishable from the standard base fuel oil’s color with the use of a black light, etc. Red dye - visible (daylight) to the naked eye indicates Federal Tax Exempt.

Premium grade diesel fuel oil which does not conform to the stabilizer, corrosion ratings specified herein shall be removed or an adequate additive shall be provided. The NYS OGS Procurement Services Group, Director’s decision to remove or accept corrective additive amounts (provided & intermixed at the contractor’s cost & expense) to the fuel oils in question shall be final.

PREMIUM CETANE RATING:

The premium diesel [Grade 2PD & 2PD/1D (Winter Mix)] fuel oil shall contain the respective (specified) combination of the base fuel oil/s (1D & 2D) and it shall meet all the specifications listed elsewhere herein for those base fuel oils. In addition to its base fuel oil meeting the Calculated Cetane Index value specified previously herein for all the fuel oils. The premium fuel oil shall have a total (calculated plus cetane improvers) Cetane Index value of forty five and one-half (45.5) Cetane. ASTM Test Method D976-06 (IP #364/84), or latest revision thereof; or ASTM D4737-04, or latest revision thereof, shall be used for calculating whether the Cetane number is 45.5. However, the premium grade diesel fuel oil’s Cetane Index value shall be determined using (the engine ignition method) ASTM Test Method D613-05 (IP #41/81), or latest revision thereof, when the previously specified calculated method for cetane of the base fuel oil is less than a 45.5 cetane value. The premium fuel oil shall conform to the specified Cetane Index listed herein, both Calculated Cetane Index and Engine Cetane Index (D613-05). When a given sample is determined to be in non-compliance of either or both Cetane Index requirements, then the greater deviation shall be the figure used for the price deduction requirements; except when the Engine Cetane Index exceeds its specified requirement, the “Inferior Cetane Content/Price Deduction” shall be waived.

CETANE IMPROVER:

At the manufacturer's recommended full strength dosage ratio, this additive shall include a 2-ethyl-hexyl-nitrate cetane improver which shall increase the cetane value of the fuel by a minimum of four (4) numbers (i.e., a 42.0 cetane fuel shall raise to a cetane of 46.0, or better). A minimum of thirty (30%) percent of the additive package shall be cetane improver.

Page 32: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

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DETAILED SPECIFICATIONS (Cont’d)

UNIVERSAL DETAILS (Cont’d) COLD FILTER FLOW IMPROVER:

At the manufacturer’s recommended full strength dosage ratio, this additive shall include a cold filter flow improver which shall provide a maximum fuel oil CFPP temperature which is eighteen (18°F) degrees Fahrenheit [ten (10°C) degrees Centigrade] below the respective Cloud Point temperatures listed elsewhere herein under the heading “LOW TEMPERATURE OPERABILITY/PERFORMANCE CHARACTERISTICS:”. Winter Mix delivered for use during the months of November through March shall have a cold filter flow improver as specified previously.

DETERGENT:

This additive shall possess detergent characteristics. It shall meet the parameters of CRC L-10 Superior Maximum Demerit Rating requirements (10 max.) and it shall pass a verifiable, objective dynamometer test which proves keep-clean or clean-up ability relative to untreated fuel oil. The Mercedes Benz OM-616 Coker Test, or comparable test, shall be acceptable for proof of performance.

CORROSION INHIBITORS:

At the manufacturer’s recommended full strength dosage ratio, this additive shall possess corrosion inhibitors which shall ensure a B++, or better, NACE rating (steel spindle test).

WATER DISPERSAL:

This additive shall provide water dispersant characteristics which neither: completely shed water, nor completely emulsify the water. It shall emulsify water in the fuel oil being treated at a controlled rate of one hundred (100 gal) gallons, maximum, per million gallons of fuel being treated.

DEICING CAPABILITY:

At the manufacturer’s recommended full strength dosage ratio, this additive shall provide adequate deicing capability.

ADDITIVE REFERENCE: (WINTER MIX, CFPP IMPROVER)

Any additive supplied under this contract shall be: AGA/Truck-Pro (Carter Chem.) product named “Artic Arnol”, or NALCO Chemical Co. product code number “88BK108 Liquid”, or comparable product; meeting the minimum requirements of this specification.

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DETAILED SPECIFICATIONS (Cont’d)

REQUIREMENTS SUMMARY PARAMETER TEST METHOD 1D FUEL OIL 2D FUEL OIL 2PD FUEL OIL Flash Point, min.: D93-06a 120°F 125°F 125°F

Water & Sed., max.: D1796-04 0.02%V/V 0.02% V/V 0.02% V/V

Water & Sed., Haze Rating, max.: D4176-04e1 2.0 2.0 2.0

Viscosity, max.: D445-06/D2161-05 33SUS@100°F 38SUS@100°F 38SUS@100°F

Ash, %mass, Max. D482-03 0.01 0.01 0.01

Sulfur, % mass, max.: D2622-05 0.0015% 0.0015% 0.0015% or D4294-03

Cetane Index D976-06 (IP 364/84) (Calculated) D4737-04 42.0 (min.) 42.0 (min.) 42.0 (min.)

Cetane Number (Engine) D613-05 42.0 (min.) 42.0 (min.) 45.5 (min.)

Aromaticity, % vol, D1319 – 03e1 (possible min.): ---- 27.0 27.0 (max.): 35.0 35.0 35.0

Cloud Point, OC D3117-03 max. D2500-05 same as Ambient Temp, OCT thru MAR

CFPP Point, OC, max. IP309/83 see Low Temperature Operability table

Carbon Residue (mass %), max, on 10% Ramsbottom: D524-04 0.15 0.35 0.35

Corrosion Inhibitors TM0172, NACE mfr’s std. mfr’s std. B5++0 or better

Stabilizer F2161-01, Dupont mfr’s std. mfr’s std. “7”, or less BLENDING/DELIVERY REQUIREMENTS:

All fuel oil delivered which contains combinations of 1D, 2D, or winterizing additives shall be blended at the bulk plant, or via a dual/multiple manifold on the truck which mixes them for a simultaneous delivery. Delivery/ies via a non-manifold type truck (i.e., product which is not premixed) should not be accepted. Cetane and cold filter plugging point (CFPP) parameters shall be met regardless of product mix.

LOW TEMPERATURE OPERABILITY/PERFORMANCE CHARACTERISTICS: The WINTER MIX (2D/1D) and premium diesel, 2PD/1D (WINTER MIX), fuel oil deliveries shall conform to

the cloud point and cold filter plugging point temperatures within this section and shall ensure that the maximum percentage of 2D fuel is included in the mix relative to those maximum temperature points. The percentage of 1-D fuel oil used to ensure the proper CFPP temperature shall not exceed fifty (50%) percent of the base oils mix ratio. When necessary to ensure compliance with low temperature characteristics, the use of winterizing additives which meet the conditions stated elsewhere herein shall be required. Cummins states that their engines need a fuel with 60% (minimum) #2 diesel content for Winter Mix.

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DETAILED SPECIFICATIONS (Cont’d) LOW TEMPERATURE OPERABILITY/PERFORMANCE CHARACTERISTICS: (Cont’d) The fuel oils shall meet the following respective low temperature operability/performance characteristics when tested in accordance with ASTM D975-06B and the test methods listed herein under the heading “UNIVERSAL DETAILS”.

WINTER MIX

PERFORMANCE

PERIODS

AMBIENT TEMPERATURE and

CLOUD POINT (maximum) _____________________________

42°LAT/North - South 42°LAT

CFPP TEMPERATURE

(maximum) __________________________ 42°LAT/North - South 42°LAT

Deliveries OCTOBER with Next NOVEMBER Scheduled DECEMBER Replenish- JANUARY ment FEBRUARY In MARCH ________________________ Delivery In All Other Periods

+26°F(- 3°C) +31°F(-0.6°C) +17°F(- 8°C) +23°F(- 5°C) - 2°F(-19°C) + 7°F(-14°C) -2°F(-19°C) + 3°F(-16°C) -2°F(-19°C) + 5°F(-15°C) + 3°F(-16°C) +16°F(- 9°C) ______________________________ +26°F(- 3°C) +31°F(-0.6°C)

+ 8°F(-13°C) +13°F(-11°C) - 1°F(-18°C) + 5°F(-15°C) -24°F(-31°C) -11°F(-24°C) -29°F(-34°C) -15°F(-26°C) -29°F(-34°C) -13°F(-25°C) -15°F(-26°C) - 2°F(-19°C) __________________________ + 13°F(-11°C) +13°F(-11°C)

WINTER MIXES:

In regard to NYS DOT sites, the regional equipment manager (transportation motor equipment manager) has the

discretion to mandate the winter mixes that will exceed the chart above for cloud point at individual sites. NOTE: When the National Weather Service projects extended cold periods with ambient temperatures significantly lower

than those listed above or a particular locale frequently/usually has lower ambient temperatures, then the oil supplied relative to those deliveries shall have the maximum cloud & cold filter plugging point temperatures lowered to meet actual low ambient operability requirements.

FOR BIODIESEL SCOPE:

It is the intent of this specification to describe requirements for a fuel blends containing either 5% Biodiesel fuel with 95% ultra low-sulfur diesel fuel or 20% Biodiesel fuel with 80% ultra low-sulfur diesel fuel. The blends will be known as B5 and B20 respectively. The intended use for the B5 and B20 BioDiesel fuel blends described herein is for use in all diesel fuel consuming vehicles and equipment systems suitable for such fuel and provided that the fuel is consumed within a period of six months. NOTE: These fuel blends are relatively new to the marketplace and, as such, full and complete knowledge of their behavior and properties under various use conditions is not currently available. Prospective users of these materials are therefore cautioned to carefully read and understand the section titled "BioDiesel Usage Considerations" before deciding to purchase and use these fuels.

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DETAILED SPECIFICATIONS (Cont’d

FOR BIODIESEL ACRONYMS AND DEFINITIONS: ASTM: The acronym, “ASTM” shall be used as a designation for the American Society for Testing and Materials. BioDiesel (B100): BioDiesel fuel is composed of mono-alkyl esters of long chain fatty acids derived from vegetable oils or animal

fats, designated B100 or 100% BioDiesel fuel, as defined in ASTM D6751-07. ASTM D6751-07 covers low sulfur BioDiesel (B100) for use as a blend component with diesel fuel oils.

B5: A blend of 5% bio product and 95% petro diesel product. B20: A blend of 20% bio product and 80% petro diesel product. CFPP: The acronym, “CFPP” shall be used as a designation for the Cold Filter Plugging Point of the fuel. IP: The acronym, “IP” shall be used as a designation for the Institute of Petroleum. 1D (1-D) The symbols 1D and/or 1-D shall be used as a grade designation for light distillate diesel fuel oils used in

vehicular diesel engines and in higher volatility applications than provided by grade 2-D fuel oils. 2D (2-D) The symbols 2D and/or 2-D shall be used as a grade designation for middle distillate diesel fuel oils used in

vehicular diesel engines and in non-vehicular applications having frequently varying loads and speeds. BIODIESEL USAGE CONSIDERATIONS:

There are many positive benefits attributed to the use of B5 and B20 BioDiesel fuel as compared to normal "Petro Diesel" fuel. The most mentioned are decreased emissions of various pollutants, increased engine life, reduced reliance on uncertain petro fuel sources, renewable fuel source and safety in handling. However, there are also a number of properties of BioDiesel fuel that potentially impact on equipment, storage and OEM warranty coverage. These considerations are detailed below.

Fuel Filters: Fuel filters on the vehicles and in the delivery system should be checked frequently upon initial BioDiesel use and changed as necessary. BioDiesel and BioDiesel blends have excellent solvent properties and may affect cellulosic filters due to solubility of resin and binders used in those filters. Glass fiber based filters manufacturered without the use of binders are probably not affected.

Sediment: Use of 2D Diesel fuel can leave a deposit in the bottom of fueling lines, tanks, and delivery systems over time. The use of BioDiesel can dissolve this sediment and result in the need to change filters more frequently when first using BioDiesel until the whole system has been cleaned of the deposits left by the petrodiesel.

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DETAILED SPECIFICATIONS (Cont’d

FOR BIODIESEL BIODIESEL USAGE CONSIDERATIONS: (Cont'd)

Solvent Properties: BioDiesel is an excellent solvent. BioDiesel can, if left on a painted surface long enough, dissolve certain types of paints. Therefore, it is recommended to wipe any BioDiesel or BioDiesel blend spills from painted surfaces immediately. In addition, BioDiesel blends can soften and degrade certain types of elastomers and natural rubbers over time. There materials may be used in fuel systems. OEM's of vehicles/engines should be contacted for specific information and concerns in this area.

Spontaneous Combustion: BioDiesel is made from vegetable oils and/or animal fats which can oxidize and degrade over time. The oxidizing process can produce heat. In certain environments a pile of oil-soaked rags can become hot enough to result in a spontaneous fire. BioDiesel soaked rags should be stored in a safety can or dried individually to avoid the potential for spontaneous combustion.

Storage: All fuels have a shelf life. This is also true with BioDiesel and BioDiesel blends. Available data indicates that B5 and B20 BioDiesel fuel should be used within six months of manufacture. Fuels determined to have a Total Acid Number (by ASTM D664-06) of greater than 0.25KOH/g are not recommended for use.

OEM Considerations: The impact of BioDiesel use on warranty coverage varies by vehicle/engine manufacturer. Major engine manufacturers have all issued statements regarding the use of BioDiesel fuel as it pertains to their warranty coverage. BEFORE deciding to use B5 and B20 fuel, prospective users should make sure they have checked with the manufacturers of their diesel equipment for considerations and concerns related to that usage. Copies of the major manufacturers statements regarding warranty impact of using BioDiesel may be obtained from the National BioDiesel Board at (800) 841-5849.

DYE MARKER CONTENT:

All products provided shall be free of visible evidence of the blue dye 1.4-diakylamino-anthraquinone. This requirement shall be in full compliance with Federal CCA*, Part 80, Section 80.29 & State NYCRR, or latest revisions thereof. EXCEPTION: Federally tax exempt fuel may be dyed red using solvent red dye 164. RED-DYED FUEL MUST BE PROVIDED FOR CUSTOMERS REQUESTING IT, AT CONTRACT PRICE!

FINISHED FUEL REQUIREMENTS FOR B5 AND B20 BIODIESEL MATERIAL: The finished B5 and B20 BioDiesel fuel blends shall be prepared using the following feedstocks:

1D Light Distillate Diesel Fuel: As described above and meeting the requirements listed under the Diesel Fuel feedstock portion this spec and as listed in Table 2

2D Middle Distillate Diesel Fuel: As described above and meeting the requirements listed under the Diesel Fuel feedstock portion this spec and as listed in Table 2

BioDiesel (B100) Fuel: BioDiesel fuel composed of mono-alkyl esters of long chain fatty acids derived from vegetable oils or animal fats and meeting the requirements of ASTM D6751-07 "Standard Specification for BioDiesel Fuel (B100) Blend Stock for Distillate Fuels”.

WORKMANSHIP: The finished B5 or B20 BioDiesel fuel blend shall be visually free from undissolved water, sediment, and suspended matter. It shall be clear and bright when tested in accordance with ASTM D 4176-04el, procedure 1 or 2.

Page 37: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

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DETAILED SPECIFICATIONS (Cont’d FOR BIODIESEL

PHYSICAL AND CHEMICAL REQUIREMENTS:

The BioDiesel portion of the finished B5 or B20 BioDiesel fuel blends shall be 5% of 20% by volume of B100 BioDiesel fuel with a tolerance of +/-1%. Remaining 95% or 80% of the final blend shall be composed of 1D and 2D Diesel fuel in proportions as necessary to produce an end product meeting the requirements listed in Table 1.

TABLE 1: (See also "Further Notes on Table 1 Requirements" following actual table)

PARAMETER TEST METHOD B5/B20 Biodiesel Fuel Flash Point, min.: D93-06a 125°F

Water & Sed., max.: D2709-96 (2006) 0.05% V/V

Water & Sed., Haze Rating, max.: D4176-04el 2.0

Viscosity, max.: D445-04e2/D2161-05 38SUS@100°F Ash, %mass, Max. D482-03 0.01

Sulfur, % mass, max.: D2622-05 or D4294-03 0.0015% Cetane Index (Calculated) D4737-04 42.0 (min.)

Cetane Number (Engine) D613-05 42.0 (min.)

Aromaticity, % vol, Max. D1319 – 03e1 28.0 Cloud Point, OC max. D2500-05 As shown in the "Low

Temperature Operability" Table

CFPP Point, OC, IP309/83 As shown in the "Low Temperature

Operability" Table Carbon Residue (mass %), max, on 10% Ramsbottom:

D524-04 0.35

Total Acid Number (TAN), mg KOH/g , maximum

ASTM D664-06a 0.25

Corrosion Inhibitors TM0172, NACE mfr’s std.

Stabilizer F2161, Dupont mfr’s std.

DETAILS OF TABLE 1 REQUIREMENTS FLASH POINT:

Delivered product having a flash point below the respective requirement given in Table 1 shall be adjusted in price as detailed in the NON-COMPLYING PRODUCT & OPERABILITY TABLE FOR PRICE DEDUCTIONS. Delivered product having a flash point greater than ten (10°F) degrees Fahrenheit below the specified minimum shall be removed from the purchasing agency’s tank and replaced with product conforming to specifications.

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DETAILED SPECIFICATIONS (Cont’d FOR BIODIESEL

WATER AND SEDIMENT:

Delivered product having a water & sediment content greater than five hundredths (0.05% V/V) of a percent shall be adjusted in price as detailed in the NON-COMPLYING PRODUCT & OPERABILITY TABLE FOR PRICE DEDUCTIONS. Delivered product having a water & sediment greater than seven hundredths (0.07% V/V) of a percent shall be removed from the purchasing agency’s tank and replaced with product conforming to specifications, at purchasing agency’s discretion based on excessive filter maintenance and/or poor vehicle performance.

VISCOSITY:

The specified maximum Viscosity for Fuel Oils provided under this contract shall be thirty eight (38 SUS @100°F) Saybolt Universal Seconds. Delivered product having a viscosity greater than 38 SUS @ 100°F, respectively, shall be adjusted in price as detailed in the NON-COMPLYING PRODUCT & OPERABILITY TABLE FOR PRICE DEDUCTIONS. Delivered product having a viscosity greater than 40 SUS @ 100°F shall be removed from the purchasing agency’s tank and replaced with product conforming to specifications, at purchasing agency’s discretion based on excessive filter maintenance and/or poor vehicle performance.

CLOUD POINT:

Various delivery periods are shown in the LOW TEMPERATURE OPERABILITY TABLE. The cloud point temperature of the material supplied for these various delivery periods shall be no greater than the tenth percentile minimum ambient temperature as listed in the LOW TEMPERATURE OPERABILITY TABLE for the latitudes shown in that table.

COLD FILTER PLUGGING POINT (CFPP):

Various delivery periods are shown in the LOW TEMPERATURE OPERABILITY TABLE. The CFPP of the material supplied for these various delivery periods shall be no greater than the values listed in the LOW TEMPERATURE OPERABILITY TABLE for the latitudes shown in that table. Delivered product having a CFPP temperature greater than one (1°C) degree Centigrade above the maximum but less than seven and one-half (7.5°C) degrees Centigrade above the maximum shall be adjusted in price as detailed in the NON-COMPLYING PRODUCT & OPERABILITY TABLE FOR PRICE DEDUCTIONS. Delivered product having a CFPP temperature of seven and one-half (7.5°C) degrees Centigrade, or greater, above the maximum shall be removed from the site upon the State’s request and the contractor shall pay a price deduction as detailed in the NON-COMPLYING PRODUCT & OPERABILITY TABLE FOR PRICE DEDUCTIONS regardless of whether the fuel oil delivery is removed or not removed. Respective CFPP temperatures shall be listed elsewhere herein.

SULFUR:

The specified maximum Sulfur content for Fuel Oils provided under this contract shall be fifteen ten thousandths of a percent. Delivered product having a sulfur content greater than fifteen ten thousandths of a percent (0.0015%) shall be adjusted in price as detailed in the NON-COMPLYING PRODUCT & OPERABILITY TABLE FOR PRICE DEDUCTIONS. Delivered product having a sulfur content greater than that allowed by NYCRR, Title 6 Environmental Conservation Law, Chapter III Air Resources, Subchapter A, Subpart 225-1.2.(d) Table 2 shall be removed from the purchasing agency’s tank and replaced with product conforming to specifications.

CETANE RATING:

The specified minimum cetane value for Fuel Oils provided under this contract shall be a forty-two (42.0 CCI) Calculated Cetane Index. Delivered product having a calculated cetane index below forty two (42.0) CCI shall be adjusted in price as detailed in the NON-COMPLYING PRODUCT & OPERABILITY TABLE FOR PRICE DEDUCTIONS.

Page 39: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

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DETAILED SPECIFICATIONS (Cont’d

FOR BIODIESEL CETANE RATING: (Cont'd)

Delivered product having a calculated cetane index below forty (40.0) CCI shall be removed from the purchasing agency’s tank and replaced with product conforming to specifications. When a given sample is determined to be in non-compliance of either or both (Calculated & Engine) Cetane Index requirements, then the greater deviation shall be the figure used for the price deduction requirements; except when the Engine Cetane Index exceeds its specified requirement, the “Non-Complying Product - Cetane Content/Price Deduction” shall be waived.

ASH:

The specified maximum ASH content for Fuel Oils provided under this contract shall be one hundredth (0.01%) of a percent, maximum by weight. Delivered product having an ash content greater than two thousandths (0.002%) of a percent above the maximum but less than one tenth (0.010%) of a percent above the maximum shall be adjusted in price as detailed in the NON-COMPLYING PRODUCT & OPERABILITY TABLE FOR PRICE DEDUCTIONS. Delivered product having an ash content of one tenth (0.010%) of a percent or greater above the maximum specified shall be removed from the site upon the State’s request and the contractor shall pay a price deduction as detailed in the NON-COMPLYING PRODUCT & OPERABILITY TABLE FOR PRICE DEDUCTIONS.

LOW TEMPERATURE OPERABILITY TABLE

Shall be the same as listed elsewhere herein for Standard Petroleum Diesel Fuel. NOTE:

When the National Weather Service projects extended cold periods with ambient temperatures significantly lower than those listed in the "Low Temperature Operability Table" or a particular locale frequently/usually has lower ambient temperatures, then the oil supplied relative to those deliveries shall have the maximum cloud and cold filter plugging point temperatures lowered to meet actual low ambient operability requirements.

NON-COMPLYING PRODUCT & OPERABILITY TABLE FOR PRICE DEDUCTIONS:

Shall be the same as indicated under "General Information" herein. FEEDSTOCK DIESEL FUEL OIL REQUIREMENTS:

The Diesel fuels used as feedstocks in the manufacture of B5 or B20 BioDiesel fuel shall meet or exceed the requirements of ASTM D975 -06b and the requirements listed below and in Table 2 before being blended to produce the B5 or B20 BioDiesel end product.

WORKMANSHIP:

Fuel shall be visually free from undissolved water, sediment, and suspended matter. It shall be clear and bright when tested in accordance with ASTM D 4176-04e1, procedure 1 or 2. Fuel oil shall NOT contain any alcohol.

2D DIESEL (REGULAR) FUEL OIL:

Grade 2D fuel oil shall meet specifications listed in Table 2. 1D DIESEL FUEL OIL:

The Grade 1D fuel oil shall meet the specifications listed in Table 2 below. Kerosene (1- K) meeting and/or exceeding the parameters stated herein for 1D will be considered in lieu of 1D as part of this specification/solicitation.

Page 40: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

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REQUIREMENTS SUMMARY: TABLE 2:

Except for Water & Sed., max., shall be same as listed under "Requirements Summary" elsewhere herein for "Standard Petroleum Diesel Fuel".

PARAMETER TEST METHOD 1D Diesel Fuel 2D Diesel Fuel Water & Sed., max.: D2709-96 (2006) 0.02% V/V 0.02% V/V

Page 41: CONTRACT AWARD NOTIFICATION · SB PRODUCTS, INC. Joe Gaglianese OR 17 JUNCTION ROAD Brian Monette PO BOX 355 FAX NO.: 518-483-2005 MALONE, NY 12953-0355 E-mail: bjmonette@aol.com

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State of New York

Office of General Services PROCUREMENT SERVICES GROUP

Contract Performance Report Please take a moment to let us know how this contract award has measured up to your expectations. If reporting on more than one contractor or product, please make copies as needed. This office will use the information to improve our contract award, where appropriate. Comments should include those of the product’s end user. Contract No.: Contractor. Describe Product* Provided (Include Item No., if available): *Note: “Product” is defined as a deliverable under any Bid or Contract, which may include commodities (including

printing), services and/or technology. The term “Product” includes Licensed Software. Excellent Good Acceptable Unacceptable • Product meets your needs • Product meets contract specifications • Pricing CONTRACTOR Excellent Good Acceptable Unacceptable • Timeliness of delivery • Completeness of order (fill rate) • Responsiveness to inquiries • Employee courtesy • Problem resolution Comments: (over) Agency: Prepared by: Address: Title: Date: Phone: E-mail: Please detach or photocopy this form & return by FAX to 518/474-2437 or mail to:

OGS PROCUREMENT SERVICES GROUP Customer Services, 37th Floor

Corning 2nd Tower - Empire State Plaza Albany, New York 12242

* * * * *