HomeMy WebLinkAbout1086 bidding proceduresORDI'NANCE NO. 1086
ORDI'NANCE OF THE CITY COUNCI'L OF THE
CITY OF UKZAH AI~IENDI'NG SECTTONS 1521
AND 1522 OF THE UKZAH CITY CODE,
CONCERNI'NG BI'DDI'NG PROCEDURES AND
OPEN MARKET PURCHASES
The City Council of the City of Ukiah hereby ordains as follows:
SECTION ONE.
Sections 1521 and 1522 in Division 1, Chapter 6, Article 2 of the Ukiah
City Code are hereby amended to read as follows.
§1521: FORI~tAL CONTRACT PROCEDURE: When formal public bidding
to the lowest responsive and responsible bidder is required by this Code or
applicable state law, the City shall invite bids and award contracts using the
procedures specified in this Code or applicable state law, including procedures
adopted by resolution of the City Council. In any conflict or inconsistency
between the provisions of this Code and state law, the state law provision shall
prevail:
A. Notice Inviting Bids: Notices inviting bids shall include a general description of
the articles to be purchased or services to be rendered and shall state where
bid blanks, specifications and plans (if applicable) may be secured, and the
time and place for opening bids, all in accordance with policies adopted by
the City Council.
1. Published Notice: Notices inviting bids shall be published and distributed
within the time and in the manner provided by this Code or state law.
2. Bidders' List: The Purchasing Officer shall also solicit sealed bids from all
responsible prospective suppliers whose names are on bidders' lists compiled
as required by Section 1522.D.2.
B. Bidder's Security: When so required by state law bid and payment bonds shall
be required. When deemed necessary by the Purchasing Officer, performance
bonds may be prescribed in the public notices inviting bids. Bidders shall be
entitled to return of bid security; provided, however, that a successful bidder
shall forfeit his bid security upon his refusal or failure to execute the contract
within the time required in the Notice Inviting bids and in accordance with
applicable provisions in the Public Contracts Code.
C. Bid Opening Procedure: Sealed bids shall be submitted to a city official
designated in the notice inviting bids and shall be identified as "bids" on the
envelope. Bids shall be opened in public at the time and place stated in the
public notices. A tabulation of all bids received shall be open for public
inspection during, regular business hours for a period of not less than thirty
(30) calendar days after the bid opening.
D. Lowest Responsible Bidder: Unless bids are rejected as allowed by law, the
contracts shall be awarded to the lowest responsible bidder submitting a
responsive bid.
Bidders in Default to City: The agent shall not accept the bid of a contractor
or supplier who is in default on the payment of taxes, licenses or other
monies due the City.
§1522: OPEN MARKET, INFORMAL BIDDING AND CONTRACTUAL
SERVICES PROCEDURE:
A. Definitions:
When used in this Section, the following terms shall have the following meaning,
unless another meaning is expressly stated when the term is used.
"Contract for supplies and equipment" means a contract for the purchase
or rental of supplies and equipment, where the only service provided directly to
the City involves the delivery and/or installation of the supplies or equipment, is
incidental to the purchase, and where the value of the services provided under
the contract is less than 20% of the total contract price.
"Costing" as used in such phrases as "costing the City" or "costing more than"
means the total cost to the City, including, but not limited to, applicable sales tax
and shipping costs. The amount may be estimated before bids are received. Tf a
bid is received for not more than 10% more than the estimated amount, the
procurement method specified for the estimated amount may be followed.
"Local vendor" means a business with a physical business address in
Mendocino County at which location the owner and/or employees are regularly
employed and with a currently effective business license issued by the city in
which it is located or, if located in the unincorporated area, by Mendocino County.
"Maintenance" shall have the meaning provided in' Public Contracts Code
Section 22002(d), as it currently reads or as it may be amended to read.
"Open market purchase" means a purchase made without a prior written
solicitation of formal bids. In making open market purchases, the Purchasing
Officer is encouraged to take advantage of modern communications to obtain the
lowest possible price, consistent with the City's needs, including, but not limited
to, the use of the telephone, the internet and email, and to use all reasonable
means to solicit quotes or proposals from local vendors. The Purchasing Officer
shall maintain a permanent public record for a period of five years from the date
of purchase of each open market purchase, including the method used to obtain
information from vendors, the quotes sought and received, the bid selected and
the reason for the selection.
"Personal Services Contract" means a contract for professional or other
services that does not involve the building or construction trades, but does
include construction management, engineering, architectural and similar
construction design or inspection services.
"Public Project" has the meaning provided in Public Contracts Code Section
22002(c)-(d), as it currently reads, and as it may be amended from time to time.
B. Purchases of supplies and equipment:
:1.. Supply and equipment contracts under $~.0,000. Open market
purchases may be used for contracts for the purchase of supplies and equipment
costing $10,000 or less, if the purchase is included within an approved fund
account and an unencumbered appropriation exists in the fund against which the
purchase may be charged. Purchases costing more than $5000 shall be reported
to the City Council at its next regular meeting following the purchase. The report
shall include the information described in the definition of "open market
purchase."
2. Supply and equipment contracts over $10,000. Contracts for
the purchase of supplies and equipment costing more than $10,000 shall be
procured using the following procedures.
a. Minimum Number of Bids: Whenever reasonably feasible, the
Purchasing Officer will award the contract based on at least three (3) bids.
b. Notice ]:nviting Bids: The Purchasing Officer shall solicit bids by
written request, including the use of email or fax, and/or by telephone with
written confirmation to follow within three (3) working days, which notice shall
include such specifications and bidding requirements as the Purchasing Officer
determines are appropriate to the work, and as are required by law. The
Purchasing Officer shall make reasonable efforts to solicit bids from local vendors.
c. Written Bids: Sealed written bids or bids submitted by email or
FAX shall be submitted to the Purchasing Officer. The Purchasing Officer shall
not disclose the contents of any bids submitted by sealed bid, fax, email, or
telephone, followed by timely written confirmation, until the time appointed to
open or consider all submitted bids.
d. Award of Bids: Supplies and equipment shall be rented or
purchased from the least expensive source, if the Purchasing Officer is satisfied
that all sources and the products offered are of equal quality and suited to the
City's needs. The Purchasing Officer shall maintain a permanent record for a
period of five years of the quotes sought and receiVed, the bid selected and the
reason for the selection. The City Council must award the bid based on the
recommendation of the Purchasing Officer.
3. Cooperative purchases. The Purchasing Officer may purchase
supplies and equipment through a consolidated supply contract or other
cooperative purchasing arrangement with another governmental agency, if
available to the City and if the Purchasing Officer determines that the
procurement method used by that agency provides a purchasing advantage to
the City.
C. Other Contracts.
1. Public Projects Contracts.
a. Contracts for public projects shall be procured in accordance
with the California Uniform Public Construction Cost Accounting Act (Public
Contracts Code Sections 22000 et seq.), as it now reads and as it may be
amended from time to time.
b. Contracts for public projects costing $30,000 or less or such
other amount as may be periodically established by the California Uniform
Construction Cost Accounting Commission pursuant to Public Contracts Code
Section 22020 shall be procured by open market purchase.
c. Contracts to be performed for a City owned public utility, such as
the City's electrical system, which are not public projects or subject to
subsections C. 2 and C.3, below, shall be procured in accordance with
procedures adopted by the Public Utilities Department and approved by City
Council resolution from time to time. Tn the absence of a resolution, the Public
Utilities Department may use the procedures specified in subsections C.l.a and
C.l.b, above.
2. Maintenance contracts.
a. Open market purchases may be used for maintenance contracts
costing $10,000 or less, if the purchase is included within an approved fund
account and an unencumbered appropriation exists in the fund against which the
purchase may be charged. Maintenance contracts costing more than $5000 shall
be reported to the City Council at its next regular meeting following the purchase.
The report shall include the information described in the definition of "open
market purchase."
b. Maintenance contracts costing more than $10,000 shall be
procured using the following procedures.
i. Minimum Number of Bids: Whenever reasonably feasible,
the Purchasing Officer will award the contract based on at least three (3) bids.
ii. Notice ]:nviting Bids: The Purchasing Officer shall solicit
bids by written request, including the use of email or fax, and/or by telephone
with written confirmation to follow within three (3) working days, which notice
shall include such specifications and bidding requirements as the Purchasing
Officer determines are appropriate to the work, and as are required by law. The
Purchasing Officer shall make reasonable efforts to solicit bids from local
contractors.
iii. Written Bids: Sealed written bids or bids submitted by
email or fax shall be submitted to the Purchasing Officer. The Purchasing Officer
shall not disclose the contents of any bids submitted by sealed bid, fax, email or
telephone, followed by timely written confirmation, until the time appointed to
open or consider all submitted bids.
iv. Award of Bids: The maintenance contract shall be
awarded to the least expensive bidder, if the Purchasing Officer is satisfied that
all bids are equally qualified and suited to the City's needs. The Purchasing
Officer shall maintain a permanent record for a period of five years of the quotes
sought and received, the bid selected and the reason for the selection. The
Purchasing Officer shall present the recommended bid to the City Council for
award.
3. Personal Services Contracts.
a. Open market purchases may be used for personal services
contracts costing $10,000 or less, if the purchase is included within an approved
fund account and an unencumbered appropriation exists in the fund against
which the purchase may be charged. Personal services contracts costing more
than $5000 shall be reported to the City Council at its next regular meeting
following the purchase. The report shall include the information described in the
definition of "open market purchase."
b. Personal services contracts costing more than $10,000 shall be
awarded using the following procedures
i. Minimum Number of Bids: Whenever reasonably feasible,
the Purchasing Officer will award the contract based on at least three (3)
proposals, and shall award the contract on the basis of demonstrated
competence and on the professional qualifications necessary for the satisfactory
performance of the services required. To the extent permitted by law, including,
but not limited to, Government Code section 4526, the Purchasing Officer shall
consider cost as one factor in awarding the contract.
ii. Notice :[nviting Bids' The Purchasing Officer shall solicit
proposals by written request for proposal (RFP), which shall include such
specifications and requirements as the Purchasing Officer determines are
appropriate to the work and as are required by law. Announcements of RFPs
may, but need not, be placed in appropriate professional publications. RFPs shall
be sent to the largest number of qualified professionals practical in the judgment
of the Purchasing Officer. The Purchasing Officer shall include as many small
business firms as identified by the Director of General Services of the State of
California pursuant to Government Code section 14837 as the Purchasing Officer
determines is practical. The Purchasing Officer shall use reasonable efforts to
solicit proposals from local vendors. The Purchasing Officer and his or her
designees shall not engage in any practice which might result in unlawful or
unfair treatment in processing proposals and awarding contracts, including, but
not limited to, rebates, kickbacks, bribes or other unlawful consideration. No City
officer or employee shall participate in the selection process when those officers
or employees have a relationship with a person or business entity seeking a
contract under this subsection which would subject those officers or employees
to the prohibition of Government Code section 87100.
iii. Written Proposals: Written proposals shall be submitted
to the Purchasing Officer who shall keep a public record of all such proposals for
a period of five years after their submission. The contract shall be awarded by
the City Council based on the proposal, such personal interviews as the
Purchasing Officer deems appropriate, the criteria set forth in subsection (2), and
the recommendation of the Purchasing Officer.
D. Miscellaneous
1. Any dollar limits specified herein, except for the limit in
subsection C.l.b, may be revised by a resolution of the City Council based on
changes in the cost of living or the cost of goods or services available to the City.
2. ProCurement of goods or services not specifically addressed in
this section may be purchased by open market purchase, unless a different
method is required by state statute or regulation or another provision of this
Code.
3. When soliciting bids or proposals, the Purchasing Officer shall
use all practically available means to solicit such bids and proposals from as
large a pool of qualified sources as possible. To aid in accomplishing this goal,
the Purchasing Officer shall solicit proposals from qualified bidders who appear
on any list of bidders maintained by the City. The Purchasing Officer shall
develop specialized bidders' lists for each type of contract described in this
Section 1522, including contracts for equipment and supplies, public projects,
personal service and maintenance services. The Purchasing Officer shall notify
potential suppliers or contractors who contact the City of the opportunity to be
listed on bidders' lists, including through the City's website.
SEC'I/ON TWO.
1. SEVERABILITY. If any provision of this ordinance or the application
thereof to any person or circumstance is held invalid, the remainder of the
ordinance and the application of such provision to other persons or
circumstances shall not be affected thereby. The City Council hereby declares
that it would have adopted this Ordinance and any section, subsection, sentence,
clause or phrase thereof irrespective of the fact that any one or more sections,
subsections, sentences, clauses or phrases be declared unconstitutional or
otherwise invalid.
2. EFFECTIVE DATE. This Ordinance shall be published as required by
law in a newspaper of general circulation in the City of Ukiah, and shall become
effective thirty (30) days after its adoption.
Introduced by title only on August 16, 2006, by the following roll call vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Councilmember Crane, McCowen, Baldwin and Mayor Ashiku
None
Councilmember Rodin
None
Adopted on October 18, 2006 by the following roll call vote:
AYES:
NOES:
ABSENT:
ABSTA]~N:
Councilmember Crane, McCowen, Rodin, Baldwin and Mayor Ashiku
None
None
None
lv~ Ashiku, Mayor
Al-rEST:
Gail Petersen, City Clerk