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Fuel Escalators – “Do we need and want them?”

Friday, May 23, 2008   (0 Comments)
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As the price of fuel continues to climb with no price down turn projected anytime soon, fuel escalator provisions and fuel price adjustment clauses have become a frequent topic of discussion throughout the industry.

Historically, owner agencies like MDOT have been amenable to fuel escalator provisions or price adjustment clauses provided those provisions accounted for them receiving compensation back when the price of fuel falls. It is because of this “owner pay back” provision that the industry has not more aggressively pursued fuel escalator or price adjustment provisions in the past.

With the “past being the past”, and all projections showing fuel prices continuing to climb at a steady rate, is it time we ask ourselves these questions:

“Do we need escalator provisions or price adjustment clauses for fuel?”
“Do we want escalator provisions or price adjustment clauses for fuel?”

Got an opinion? Share it with the MITA staff in an open forum meeting on:

Monday, June 9th, starting at 9:30 AM, in MITA’s Okemos office.

All MITA members are encouraged to attend and be a part of the discussion on this important industry issue.  Please contact Glenn Bukoski via email at or by calling (517) 347-8336, if you are interested in attending. 


If you are unable to attend the meeting, but have an opinion you would like to share, please e-mail your comments to Glenn Bukoski, MITA’s vice president of Engineering Services, at


If you have any questions or comments contact Glenn Bukoski at or Doug Needham at or call them at the MITA office at 517-347-8336.

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