Report on the Procurement and Delivery of Fuel Oil.

Annual use of fuel oil for heating schools and other facilities of the Montgomery County (Maryland) Public Schools, Montgomery County Government, and Montgomery College exceeds four-million gallons. This report examines the processes by which purchases and distributions of fuel oil are made, makes recommendations based on the examination, and suggests computer-assisted models to monitor and aid in decision-making about these processes. After an executive summary and introduction, chapter 1 describes the current fuel oil procurement and delivery systems and presents findings and conclusions about these processes. The second chapter (1) outlines two suggested computer-assisted financial analysis models, the procurement/delivery model, and the usage/price/expenditure model; (2) applies the models using computer simulation to evaluate cost differences for fiscal year 1984; (3) summarizes the study findings; and (4) offers recommendations. Included in five appendices are (1) the actual computer simulations; (2) a computer scenario of how the usage/price/expenditure model might be utilized; and (3) the computerized fuel oil cost evaluation analysis for fiscal year 1984. Sixteen exhibits are included in the report. (WTH)