HomeMy WebLinkAboutOrdinances_2678_CCv0001.pdf ORDINANCE NO. 2678
AN ORDINANCE OF THE. CITE' OF REDLANDS AMENDING CHAPTER
2.16 OF THE REDL N S MUNICIPAL. CODE RELATING TO CITY
PURCHASES AND DELETING CHAPTER 3.74 OF THE RF`DI._ANE
11"NIC{IPAL CODE
HE CITY COUNCIL OF THE CITE' OF REDLANDS DOES ORDAIN AS
FOLLOWS-
Section
OLLO S:Section 1. Chapter 2.16 of the Redlands Municipal Code is hereby deleted in its entirety
and rewritten to read as follows
Chapter 2.16
CITY PURCHASING G ND SALE CSP SURPLUS PERSONAL PROPERTY POLICIES
Sections::
2.46.010 Definitions
2.16.020 Purchasing System.
2.16,030 Purchasing Agent-
116.040 Powers and Duties
2.16.050 Purchasing; Standards and. Ethics
2.16,060 Conflict of Interest
2.16.070 Gratuities
2.16.080 Purchase Requisition
.16.090 Purchase Order
2.E6.100 Encumbrance of Funds
?.16.110 Competitive Procurement
2.16,120 Formal Procurenient
16.130 Emergency Procurement
2.16.140 Public Projects
116.150 Non-Public Projc;tts r,- Bidding Requircinents for Supplies,
Materials, Equipment and Construction
2.16.1601 Lowest Responsible Bidder
2.16.1 70 Professional Services
?,16.180) Non-Professional Services
2.16,1 90 Change Order-,
2.16.200 Cooperative Purchasing
116.210 Preferences
2,16.220 Authorization to Execute Contracts
�,16.230 Standardization of E uipmenl/SLIPP]ies
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2.1 6.240 Insurance Re uirenients
2.16.250 Federal Requirements
116.260 Resale Iters
2.16,270 Commercial Entertainment/Excursions and Competition
2.16.280 Designation of Surplus Personal.Property
?.1629 rale in (open Market of Surplus, Personai property
11 6_300 Sale by Sealed Biel or Auction of Surplus Personal Property
116. 10 Trade-in Surplus Personal Property
2.16.320 Sale of Surplus Personal Property to Other Public Agency
2.16.330 Conveying Surplus Personal Property to tither Public Agencies
2.1 x.340 Disposal of Unclaimed Property
2.1 .3 0 Disposal of Bicycles
2.16.01 tl Definition
As used in this Chapter, the fallowing words and phrases shall have the meanings indicated
A. "Annual Purchase Order" means a City-issued document to a vendor allowing for the
purchase of goods or services by authorized personnel for a specified time not to exceed one
year. An annual purchase order shall be issued, using competitive procurement whenever
practicable, for a specific amount of consideration that is drawn on throughout the specified time
frame for payment of invoices:related to such purchase order.
B. "Bid Security" paeans a guarantee, in the form of a bond or cash deposit, that the
successful bidder will execute a contract as laid, or will forfeit the amount of the bond or deposit.
C. "Bidder's Dist" means a list maintained by the Purchasing Office setting out names and
addresses of suppliers of various good and services frorn which bids, proposals and quotations
may be solicited
D� "City Manager"trreans the City Manager for the City, or his or her designee.
E. "Chin-c Order" means a City-issued document used to modify a purchase carder to add,
delete:or revise the quantity, price or scope of goods, services or construction beim provided.
F. "Competitive Procurement" means a process whereby for-nal bids, by formal
procurement, or informal bids, by capon market procurement, are solicited trorn Iidders in
accordance with applicable lair under the direction of the Purchasing Agent.
G. "Conflict of Interest` paeans a situation where the personal interests of contractor_ public:
official or employee are, or appear to be in conflict with the Rest interests of the City,. as
determined in accordance with the laws of the Stine.
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H. "Contract" means any type of legally recognized agreement to provide goods, services or
construction including purchase orders.
1. "Construction" means the process of building, altering" repairing, unproving or
demolishing any public structure or building, or other public improvernent of any kind to any
public real property. It does not include routine operation, maintenance or repair of existing
structures, buildings or real property by the City's own forces, "Construction" shall, also include
Vublic project" as defined in Section 20161 of the California Public Contract Code.
J. "Cooperative Purchasing7 means a purchasing method whereby the procurement
requirements of two or more governmental entities are combined to obtain the benefit of volume
procurement or reduction o f adrni ni strati ve expenses.
K. "Emergency Purchase" means a purchase made without following the normal purchasing
procedures or using competitive procurement, in order to obtain goods, services or construction
teareet an urgent and previously unexpected requirement where public health and safety or the
conservation Of public resources is at risk.
L. *'Equipment" means personal property of a durable nature which retains its identity
throughout its useful life.
M. "Formal Bid" tricans a written bid which shall be (a) advertised in a newspaper of, eneral
circulation in the City; (b) subi-nitted in a scaled envelope in conformance with a City-prescribed
format and procedure; (c) publicly opened, read and recorded at a City-specified date, time and
place; and (d) accepted by award made by the City Council.
N. "Formal Procurement" means procurement by written Notice Inviting Bids and Forinal
Bid.
0. "Gratuity" means a gift or favor, entertainment, loan or anything of monetary value ft-om
anyone who has or is seeking to obtain City business or conducts activities that may be affected
by the perfortriance or non-perforniance of the employee's official duties.
P. "Goods" ntean supplies, materials, equipment and other commodities included within the
definition of"Goods" in Section 2105 of the California Linift.mn Commercial Code.
Q. "Inforinal Bid or Quotation", means an unsealed competitive offer conveyed by letter,
telephone, facsimile or other means and under conditions different from those required for
formal bidding- informal bids should only be solicited by City personnel authorized to do so, and
for each instance of informal bid the authorized personnel, shall obtain infionrial bids from at least
three different prospective bidders, if practicable,
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R. "Negotiation" means contracting through the use of either competitive or other than
competitive proposals and discussions. Any contract/purchase order awarded without using
sealed bidding procedures is a negotiated contract/purchase order, Further, negotiation is a
procedure that includes the receipt of proposals from offerors, which permits bargaining and
usually affords an opportunity to revise their offers before award of a contract./purchase order.
Bargaining in the sense of discussion, persuasion, alteration of initialassumptions of positions,
and give-and-take may apply to price, schedule, technical requirements, type of
contractipurchase order or other terms of a proposed contract/purchase order.
S. "Open Market" means the private sector business market place in which private persons,
exercising prudent business practices and Judgment, procure goods, services or construction
utilizing an informal bid submitted by bidders from the open market.
T. "Procure or Procurement" means buying, purchasing, renting, leasing or otherwise
acquiring or obtaining goods, services or construction.
U. "Professional Services" means services such as those of attorneys, auditors, physicians,
architects, engineers and other'individuals or organizations exercising professional discretion and
independent judgment based on specialized knowledge, expertise or training.
V. "Purchasing Office" means the City Depaitment designated by the City Manager for the
administration of this Chapter.
W. "Purchase Order" means a City-issued document which authorizes the delivery of goods,
the rendering of services, or the performance of construction at a stated price and which
encumbers City funds for the payment thereof.
X. "Purchase Requisition", means a written request in the form as the City may from time to
tinie detennine, submitted by a City Department to the Purchasing Office for procurement of
goods, services or construction,
Y. "Recycled Goods" means finished manufactured products containing recycled materials
in the production thereof
Z. "Service (Contractual)" means a contract that directly engages the time and effiort of a
contractor whose primary purpose is to perform an identifiable task rather than to furnish an end
item of supply. A set-vice contract may be either non-personal or a personal contract. It can also
cover services perfortned by either professional or non-professional personnel, whether on an
individual or organizational basis. Examples of contractual service or services contracts are (a)
maintenance, overhaul, repair, rehabilitation, salvage, modernization or rnodification of supplies,
systems, equiptnent; (b) facilities maintenance; (.c)janitorial services-, (d) advisory and assistance
services: (c) communication services; and(f) transportation and related services.
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AA."Bungle Source Purchase" means a purchase where it cann be substantiated that a
commodity or service can be obtained ftom one vendor or contractor which oftenis the "single"
representative of the manufacturer or principle company. "Single Source" purchases frequently
involve a vendor or contractor whose product or service is discernibly distinguishable from all
others in the market and singularly meets all significant elements of the City's requirement. In
this context, "single" means "the one among others."
1313. "Sole Source Purchase" means a purchase where it can be Substantiated that a
requirement involves commodity or set-vice provided by only one vendor or contractor which has
exclusive riots {e.g_ rights to data, Patent or copy-right, proprietary interests or secret. processes)
to the manufacturing of the product or service. "Sole Source", requirements must withstand the
questions of (a) is the commodity or service the only of its kind which can fully satisfy the
requirement, and (b) the commodity is available from one, and only one, source. In this context,
`sole" means "the only one,"
CC,"Standardization" means the process of examining characteristics and needs per items of
similar end usage and developing a single specification that will satisfy the need for most or all
purchases for that purpose.
DID."Surplus Property" means inventory not needed by the City at the present time or in the
foreseeable future. This includes obsolete supplies, equipment and scrap materials that have
little or no useful life.
2.16. 20 Purchasing System
The purpose of this Chapter is to establish procedures for the purchase of goods, services and
construction at the lowest possible cost commensurate with quality needed-, to exercise financial
control over Purchases-- to define authority for the purchasing function; and to assure the quality
of such purchases. Therefore, a centralized purchasing system is hereby adopted and vested with
the authority for the purchase of all goods, services and construction. In addition, this Chapter
and the purchasing systern it establishes is designed to provide appropriate procedures to
implement the City's participation in the Uniform Public Construction Cost Accounting Act
pursuant to Public Contract Code section 22000 et seq.
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�-16-030
The position of Purchasing Agent of the City is hereby established and shall he incorporated with
the duties of the City Department director responsible for oversight of the Purchasing Office.
NN hen the term "Purchasing Agent" is used in this Chapter, such term shall include his or her
designee.
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2.16.040 Powers and Duties
The Purchasing Agent shall have charge of purchasing goods. services and construction required
by any City Department and shall have the power and the duty to;
A. Establish a purchasing prograarn providing for competitive bidding or open market
purchasing so as to obtain for the City the greatest possible advantage.
B. Establish and enforce specifications with request to goods, services and construction
required by the C:"ity.
C. `supervise the inspection of all deliveries of foods, services and construction and
determine their conformance with specifications.
D. Transfer surplus property between offices, departments or agencies,or inake arrangements
to sell surplus property or obsolete/unused foods.
E. Prepare operating policies and: procedures to be followed by all departments regarding the
purchase, inspection, storage, distribution and disposal of goods, services and construction.
F. Negotiate and recommend the execution of contracts for the purchase of goads, services
and construction.
G. Endeavor to obtain full and open competition whenever-possible on all purchases.
H. Prepare and recommend rules and regulations governing the purchase of goods; services
and construction for the. City.
1 Keep informed of current developi-nents in the field of purchasing, prices, market
conditions and new products. Recommend purchase of alternative products of a higher- duality
or lower coast.
J. Prescribe and maintain such forms as reasonably necessary to carry out the operation of
this Chapter.-
K, Maintain appropriate records needed for the efficient operation of the purchasing function.
L. Encourage the standardization of` similar foods services and construction used by City
Departments.
M. Develop and maintain any bidder's list, contractor's list or ve dor's catalog rile necessary
to the operation of this Chapter.
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N. The Purchasing Agent, with approval of the City Manager or City Council, dependent on
established dollar limits set for each, may authorize in writing any City Department to purchase
or contract for specified goods, services and construction, independently of the Purchasing
Agent. However the Purchasing Agent shall require that such purchases be made in conformity
with the procedures established by this Chapter and that all documents supporting the formal or
informal bidding procedures be attached to the City's copy of the purchase requisition.
0. Perform such other duties as may be imposed by the City Council or City Manager.
2.16050 Purchasing Standards and Ethics
The Purchasing; Office and all other employees involved in the procurement (if goods., services
and construction will be conducted with absolute integrity. The ),,,cry highest ethical standards
will be maintained in all material activities. The Purchasing Office and all other employees will
be constantly aware, of their responsibilities in spending public funds and subscribe to the
principles and standards as advocated by the National Association of Purchasing Management
and the California Association of Public Purchasing Officers. Some of these principles and
standards are as follows:
A. Regard public service as a sacred trust, giving primary consideration to the interests of
the City.
B. Purchase the best value obtainable, securing the maximum benefit for each tax dollar
expended.
C. Allow for fall and open competition and not participate in uniform bidding.
D. Know and respect their obligations to the public, private sector and using agencies.
E. Accord vendor representatives courteous treatment rernembering that they are, important
sources of itiforniation and assistance in buying decisions.
F. Strive constantly for greater knowledge of purchasing methods and of the goods and
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services to be procured.
G, Conduct themselves with fairness and dignity, demand honesty in buying
I w and selling.
1-1. Cooperate with all organizations and individuals engaged in enhancing the development
and standing of the purchasing profession.
1. Remeniber that their conduct reflects on the City arid the entire purchasing profession.
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2,16,060 Conflict of Interest
No officer or employee of the City having any supervisory authority to purchase any specific
goods, services or construction for the City shall have any financial interest in connection with
the purchase of such goods, services or construction. No officer or employee shall participate in
the procurement or selection process when such officer or employee has a relationship with a
person or business,entity seeking a contract tinder this Chapter which would subject such officer
or employee to the prohibition of California Government Sections 87100 et. seq. or Government
Code Section 1090.
2.16 070 Gratuities
The Purchasing Agent and all other officers and employees of the City are prohibited froin
accepting directly or indirectly from any person to which any purchase order or contract is, or
might be, awarded, arty rebate, kickback, gift, money or other unlawful consideration. The offer
of such gratuity to an official or employee by any supplier or contractor shall be cause for
declaring
- such individual to be an irresponsible bidder and for preventing such supplier or
contractor from bidding as provided in Sections 2.16.140 and 2.16.1 50 of this Chapter.
2.16.080 Purchase
City Departments shall submit requests for goods, services and construction to the Purchasing
Of on standard requisition forms prepared, maintained and updated by the Purchasing Agent.
A requisition shall set forth the characteristics of the goods, services or construction being
requested. At a minimum, the requisition shall state the brand name or be accompanied by a
catalog cut. In the ease of services, the requisition shall be in sufficient detail to permit
competition if reasonably possible. No purchase requisition shall be broken into smaller units to
evade any requirement of this Chapter, except that unrelated items requisitioned by departments
may be separated to provide different lists to vendors dealing in different types of goods.
2.16.090 Purchase Order
The purchase of goods, services mid construction shall be made only by the Purchasing Agent
through the execution of a purchase order or by an approved contract, except in cases of
emergency as defined herein. No officer or employee of the City shall request a supplier to
deliver goods, services or construction to the City unless a regular purchase order number has
been issued by the Purchasing Agent. Purchases and contracts shall not be split, staged or
separated into smaller units of work for the purl-)o,-,e of evading the competitive bidding
procedures or any other requirement of this Chapter.
2.16 100 Encumbrance of Funds
The Purchasing Agent shall not issue any purchase order for goods, services or construction
unless there exists an unencumbered appropriation in the account against which the purchase is
to be charged.
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2.16,1 10 C ctna aetitive 1'rocureazaent
Procurement of goods, services and construction by the City shall whenever practicable be base
can competitive procurement, whether by formal procurement if required, or procurement in the
open market, if aennitted, except that competitive procurement shall not be required in the
following circumstances.-
A. When emergency procurement is requiredasdefused in section 2.16.130 of this Chapter.
B, When the procurement involved is S5,000 or less;
C. When the City Department Director certifies, in writing, to the Purchasing Agent that
procurement can only be obtained from a sole source or timely from a single source, and the
Purchasing Agent is satisfied; that the best price, tens and conditions have been negotiated-,
Single or stale source procurement for goods, services or construction greater than S5,000 and
less than or equal to $30,000 requires the approval of the CityManager, and approval of the City
Council for single or stile source procurement in excess of 3b.000
D. When cooperative purchasing is available and undertaken,
F When the goods, services or construction can be obtained from a contractor who offers the
same or better price, terms and conditions as the same contractor previously offered as the lowest
responsible bidder under competitive procurement or negotiations conducted by the City or
another public agency, prodded that in the opinion of the purchasing Agent, it is in the lest
interests of the City to do so.
F. When the goods, services or construction can be obtained through federal, state and/or
Cather public entity pricing contacts or price agreements;
Purchasing without providing for full and open competition shall not be justified on the basis of
lack of advanced planning on the part of the requesting, City Department or based upon concerns
related to the amount of trends available (e.g., f infs will expire as result of grant or fiscal year):
2.16.120 Fon-nal procurement
Formal procurement shall be required for all esti riated procurement expenditures that meet the
fon-nal procurement limits set forth in Sections 2.16.1 40 and ? 16.1 50 cif'this Chapter. Except as
otherwise provided herein, purchases and contracts for goods, services and construction shall be
made:pursuant to the procedures described herein:
A. laid Notice. Notices inviting raids shall include a general description of the articles to be
purchased and shall state where and when bid packages may be secured, and the; time and place
of the bird opening.
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B, Publication and Mailing. Notice inviting bids shall be published at least ten calendar days
before the opening of bids in a newspaper of general circulation in the City. The Purchasing
Agent may establish and maintain a list of prospective bidders. It shall not be the responsibility
of the Purchasing Agent to ensure that the list contains current information in respect to the
address, service or product of the prospective bidder. The Purchasing Agent is authorized to
mail invitations for bids directly to the appropriate prospective bidders appearing on the list and
to other prospective bidders.
C. Bidder's Security. Each bid or proposal tray 9
be required by the Purchasin Agent to tic
accompanied by a bidder's bond, certified or cashier's check, or cash, in an amount not more than
ten percent of the total bid. When deemed necessary by the Purchasing Agent, bidder's security
may be prescribed in the public notice inviting bids. When bid security is required, bidders shall
be entitled to return of bid security; however, if a successful bidder refused to or failed to execute
the contract within ten business days after the notice of award has been mailed, unless, and to the
extent the City is not responsible for the delay, its bid security shall be deemed forfeited. The
City Council may, upon refusal or failure of the successful bidder to execute the contract, award
the contract to the next lowest and responsible bidder.
D. Bid Opening Procedures. Scaled bids shall be submitted to the Purchasing Agent and
shall be identified as a bid on the envelope. Bids shall be opened in public at the time and place
stated in the public notice. A record of the bids received shall be available for public inspection
after the bids have been opened, indicating the amount bid by the various bidders and the basis
for awarding the contract or purchase order if other than the lowest bidder is awarded the
contract/purchase order. Such, list shall be available for thirty days after the award has beerl
made.
E. Rejection of Bids. The Purchasing Agent, City Manager or the City Council, in
accordance with the limits established by this Chapter, shall each have the power to reject bids
presented, for any reason, and re-advertise for bids.
F: Tic Bids. If two or more bids received are for the sante total amount., unit price or quality,
and service being equal, and if the public interest will not permit the delay of re-advertising for
bids, the Purchasing Agent, City Manager or the City Council in accordance with the limits
established by this Chapter, may accept the bid it chooses or accept the lowest bid made by
negotiation with the tie bidders at time of the bid opening.
G. Performance and Payment Bonds. The City Council may require perforl-nance and
payment bonds before executing a contract in such amounts as it shall find reasonably necessary
to protect the best interest of the City and comply with law, If the City Council requires a
performance or payment bond, the form and arnOLint of the bonds shall be described in the notice
invitina bids.
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?.1 .130 Emergency Procurement
While the need for emergency procurement is recognized, the practice shall be curtailed as much
as possible by anticipating needs so that normal competitive procurement may be used.
A. Any one or more of the following circumstances shall constitute an emergency:
1, A great public calamity;
2. An immediate need to prepare for national or local defense,
3. A breakdown in machinery or essential service which requires the immediate
procurement of goods, services or construction, to protect the public health, welfare,
safety or property;
4. A City Department's operation, directly affecting the public health, welfare or safety
or the protection of public property, is so severely impacted by any cause that personal
injury or property destruction appears to be imminent and probable unless goods,
services or construction designed or intended to mitigate the risks thereof are procured
immediately;
5. A department is involved in a City project which is of such a nature that the need for
particular goods, services or construction can only be ascertained as the project
progresses and, when ascertained, must be satisfied immediately for the preservation
of public health, welfare, safety or property.
B. Emergency procurement may be initiated by a City Department Director or his or her duly
authorized representative as follows:
1. During non-nal City business hours, the Depaitirient Director, or his or her
representative, shall provide reasons and justification for the emergency pro
I tn ,curement.
If the nature of the emergency is such that goods, services or construction must be
procured immediately and the Purchasing Agent is satisfied with the explanation of
reasons and justification given therefor, the Purchasing Agent shall authorize the
procurement and cause ,in emergency purchase order to be issued as soon as possible,
and in no event later than the 1-ollowing business day. A purchase requisition
confirming the procurement must be prepared by the Department Director or his or her
authorized representative and submitted to the Purchasing Agent no later than the
following business day.
2. After normal City business hours, the City Department representative shall exercise
his or her best judgment in ascertaining whether the actual circumstances necessitate
emergency procurement, and if dectned necessary shall order it. As soon as possible
and in no event later than the following business day, the City Department
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representative, with approval of the Department Director, shall prepare: a purchase
requisition confirming the emergency procurer ent and deliver it to the Purchasing
Agent, who shall then cause an emergency purchase order to be prepared.
C. Following the emergency procurement, ar report shall he n-iade to the City Manager for
procurement between $30,000 and $50,000. and to the City Council for procurement exceeding
0,000.
2.16 140 Public Projects
Procurement for Public projects shall be made in accordance with the Uniform Public
Construction Cost Accounting,Act.
A. A "public project" is defined in Public Contract Code section 2200 : as any of the
following
1. Construction, reconstruction erection, alteration, renovation, improv nient
demolition and repair work involving any publicly owned leased., or operated
facility,
2. Painting or repainting of any publicly owned, leased or operated facility;
3. to the ease of a publicly owned utility system, "public project" shall include only the
construction, erection, improvement or repair of darns, reservoirs, power plants, and
electrical transmission lines of 230,000 volts and higher.
B. "Public projects" do not include maintenance work. For put-poses of this section
"rnaintenanc:e work"includes all of the following:
1, routine, recurring and usual work for the preservation or protection of anys publicly
owned, or publicly operated facility for its intender! purposes
?. Minor repairing;
3. Resurfacing of streets and highways at less than one inch;
4. Landscape maintenance including mowing watering, trimming, pruning.,;planting,
placement of plants and servicing of irrigation and sprinkler systems;
5. Work perffornied to keep, operate, and maintain publicly owned water, power or
waste disposal systems, including, but not limited to, darns, reservoirs, power plants,
and electrical transmission line of 230,000 volts and higher.
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C. The contracting procedures and the dollar limits set forth in Public Contract Code section
22032 are as follows:
1. Public projects of$301,000 or less may be perforn-led by the employees of the City by
force account, by negotiated contract or by purchase order.
2. Public projects of$30,001 to $125,000 may be let to contract by inforillal bidding
procedures as set forth in the Uniform Public Construction Cost Accounting Act and
as follows:
a. Contractors List. A list of qualified contractors shall be developed and
maintained by those City Departments undertaking public projects in accordance
with the provisions of Section 22034 of the Public Contract Code and any
applicable criteria promulgated, from time to time, by the California Uniforin
Construction Cost Accounting Commission.
b. Notice Inviting
gjnforrnal Bids. When a public project is to be undertaken
which is subject to the provisions of this Chapter, a notice inviting intbri-nal bids
shall be mailed to all contractors for the category of work to be bid, as shown on
the City's list of qualified contractors and to all construction trade journals as
specified by the California Uniform Construction Cost Accounting Commission
in accordance with Sections 22036 of the Public Contract Code. Additional
contractors and /or construction trade journals maybe notified at the discretion of
the City department responsible for undertaking the public project and soliciting
bids, provided however:
I) If there is not a list of qualified contractors maintained by the City for
the particular category of work to be perfornied, the notice inviting
bids for the public project shall be sent only to the construction trade
journals specified by the Commission.
2) If the product or service comprising the public project is proprietary
in nature such that It may be obutined only from a certain contractor or
contractors, the notice inviting infonlial bids for the public project may be
sent exclusively to such contractor or contractors,
3. Public pr(�Jccts of more than $125,000 shall, except as othenv'ise provided in the
Unitbri-ii Public Construction,Cost Accounting Act, be let to contract by formal
bidding procedures.
4. Award of purchase orders or contracts for public projects shall be as follows:
a. S30,000 or less: Award shall be made by the Purchasing Agent in the best
interests of the City:
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b. S30,001 - $50,000: Award shall be made by the City Manager to the lowest
responsible bidder, pursuant to Public Projects informal bidding procedures;
c. S50,001 -$125,000.- Award shall be made by the City Council to the lowest
responsible bidder, pursuant to public projects' infon-nal bidding procedures;
d. S 125,001 and above: Award shall be made by the City Council to the lowest
responsible bidder pursuant to public pr(Ijects' formal bidding procedures.
D. Each year, on a quarterly basis, the Purchasing Agent and the City Manager shall prepare
and provide to the City Council a summary report of contracts awarded during such quarter
pursuant to subsections 2.16.14OC4a and 2.16.14OC4b, above,
2.16,150 Non-Public Projects - Bidding Requirements for Supplies, Materialsi��i anent
and Construction
A. S5,000 or less: Procurement of goods, services or construction of five thousand dollars
(S5,000) or less may be made by the Purchasing Agent in the open market without the use of
competitive bidding. The city Manager ri-tay direct the Purchasing Agent to employ competitive
bidding for certain types of goods, services or construction for amounts less than S5,000.
B. $5,001 - $30,000: Procurement of goods, services or construction of more than five
thousand dollars ($5,000) but less than or equal to thirty thousand dollars ($30,000) may be
made by the Purchasing Agent in the open market using an informal bidding procedure whereby
infornial bids or quotations are obtained. Although less forinal, procedurally, than formal
procurement, procurement in the open market shall be conducted by the Purchasing Agent in a
manner and under circumstances intended to elicit competitive infori-rial bids. The Purchasing
Agent shall obtain informal bids from at least three different bidders and shall maintain and keep
records of all open market procurements, including informal bids received, in accordance with
the City's Records Retention Schedule. Award shall be made by the Purchasing Agent to the
lowest responsible bidder.
C. S30,001 - S50,000: Procurement of goods, services or construction of more than thirty
thousand dollars (S30.000) but less than or equal to fifty thousand dollars (S50,000) may be
made by the Purchasing Agent in the open market using an intormal bidding procedure whereby
informal bids or quotations are obtained. Although less fortnal, procedurally, than formal
procurement, procurement in the open market shall be conducted by the Purchasing Agent in a
manner and under circumstances intended to elicit competitive informal bids. The 'Purchasing
Agent shall obtain Informal Bids from at least three different bidders and shall maintain and keep
records of all open market procurements, including informal bids received, in accordance with
the City's Records Retention Schedule. Award shall be made by the City Manager to the lowest
responsible bidder.
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D. $50,001 and above: Procurement of goods, services or construction of more than lifty
thousand dollars ($50,000) shall be made by using formal procurement as required by Section
2.1 6.120 of this Chapter. Award shall be made by the City Council to the lowest responsible
bidder.
E. Each year, on a quarterly basis, the Purchasing Agent and the City Manager shall prepare
and provide to the Cit, Council a summary report of contracts awarded during such quarter
y
pursuant to subsections 2.1 �150B and 2,16.150C, above,
2.16.1fit} Lowest Responsible Bidder
In addition to price in determining the"lowest responsible bidder," consideration will be given to
quality andd performance of the commodity to be purchased or service provided by the bidder.
Criteria for determining the lowest responsible bidder shall include, but not be limited to, the
following:
A. Ability, capacity and skill of the bidder to provide the supplies, materials, equipment or
contractual services as required.
K Ability of the bidder to provide the goods, services or construction services within time
specified.
C. Character, integrity, reputation,judgment, experience, and efficiency of the bidder.
D. Quality or performance of previous purchases from said bidder.
E. Ability of the bidder to provide future maintenance, repair parts and services for the use of
the commodity purchased.
F. Performance by bidder tinder contracts with other public or private entities.
G. Listing of contractor as "debarred" or determination of other public agency that bidder has
submitted a fraudulent bid within the prior five years.
H. Possession of required license(s), permit s) or other governmental approvals, if any, to
supply or provide the sub�jcct goods. services or construction services.
2.16-170 Professional Services
A. Landscaping, eng'
..ineering, architectural, surveying,, and construction management,
nie retention of professional services for architectural, landscape architectural, engineering, land
surveying or construction project management shall be on the basis of demonstrated competence
and on the pr(.-)fessional qualifications necessary fir the satisfactory performance of the services
required, and at Ur and reasonable prices to the City, in accordance with Section 4526 cif the
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Government Code. A request for proposal and"Or statement of qualifications shall be prepared
by the initiating City Department, and proposal requests solicited, where practical, from at least
three professional services providers.
B. Other professional services. Except as may otherwise be provided in this Code or as
may be required by state or federal law, the retention of other professional services of individuals
or organizations exercising professional discretion and judgment based upon advanced or
specialized knowledge, expertise or training, gained by formalstudy or experience, shall be
based. upon both the demonstrated competence and on the professional qualifications necessary
for the satisfactory performance of the services required, and the cost for such services. A
request for scaled proposals and/or statement of qualifications, including a request for a separate,
scaled proposal for the cost lor the perfonnance of the services, shall be prepared by the
initiating City Department. Proposals shall be solicited, when practical, from at least three
professional service providers. The negotiations associated with the award of a contract, for
services identified in this subsection 2.16-17013 shall occur as follows: Upon receipt of the
proposals, the initiating City Department shall first determine and identify those persons or
organizations that are qualified to perform the services and shall rank such persons and
organizations based on their demonstrated competence and professional qualifications deemed
necessary for the satisfactory perfon-nante of the services required. Second, the cost proposals
submitted by all the quarlified persons and organizations shall be opened and reviewed. Third,
-negotiations shall be undertaken with the person or organization ranked most qualified in an
attempt to secure the services at a cost equivalent to the lowest cost offered to the City by the
qualified persons and organizations. If the person or organization ranked most qualified is
unwilling to provide the services at a cost equivalent to such lowest cost: (1) such person or
organization may nevertheless be awarded a contract, provided the Purchasing Agent, City
Manager or City Council, as appropriate, detennmes the initiating City Department Director has
substantiated that the cost for the services is reasonable and appropriate; or, (ii) negotiations with
the most qualified person or organization may be terminated and the initiating City Department
may undertake similar negotiations with the other qualified persons and organizations in order of
rank.
C. Notwithstanding any other provisions of this section 2.16.170, a professional services
contract may be awarded as a single source purchase or a sole source purchase; as such
purchases are defined in this Chapter.
D. Professional services contracts shall be awarded by the Purchasing Agent, City
Manager or City Council. as appropriate, based upon the dollar limits specified, in subsection
2.16.1 40 CA of this Chapter,
116.1 ti Non-Professional Seivices
"ion-Professional Services shall be retained on the basis of competitive procurement in
accordance with section 2.16,150 of this Chapter.
2,16.190 C
iian,ge Orders
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Changes to previously awarded purchase orders or contracts in excess of ton percent 10%) of
the original value of that purchase order or contract shall require approval by the Purchasing
Agent, City Manager or City Council depending on the new value of the purchase order or
contract after the increase and in relation to the approval limits established in Section 2.16.140
and 2,16.1 50 of this Chapter. Changes of less than ten percent (10%) that cause the new value of
the purchase order or contract to exceed S50,000, if the purchase order or contract, was not
previously approved by City Council, shall require the approval of the City Council. Any
change order that increases a purchase order or contract by fifty percent (50%) or more of the
original value requires City Manager approval lbr purchase orders or contracts totaling less than
or equal to S50,000 and City Council approval for those totaling $50,000 or more. The City
Manager may request City Council approval for the former, if lie or she believes it is in the best
interests of the City to do so
2.1 .200 Cooperative Purchasing
Where advantageous for the City, the Purchasing Agent is authorized to allow for the purchase of
goods, services and construction services through legal contracts of other governmental
jurisdictions or public agencies without further contracting, solicitation or tiortnal bidding,
provided such practice otherwise complies with state law.
2.16.210 Preferences
In administration of competitive procurement pursuant to this Chapter, the Purchasing Agent
shall be authorized to give such preferences for goods, services or Construction as general law
cities are, permitted or required to give by applicable state or federal law, or as provided for in
this Chapter.
A. Local Preference. To promote the economic health of the City and to encourage local
participation in the procurement process, the Purchasing Agent, in determining the lowest
responsible bidder, may take into consideration the I% sales tax which would be returned to the
City as a result of the bid award, For procurernentwbere sales tax would not be generated as a
result of the bid award and where the quality and price are equal to another bidder or bidders, the
local vendor may be given the bid award.
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B. Recycled Goods, Whenever practicable, all City Departments shall use recycled content
products and recycled materials to meet their needs and the City shall require its contractors and
consultants to use recycled content products in fulfilling contractual obligations whenever
practicable. All other considerations being equal, preference shall be given to the purchase of
products with the highest post-consumer content. The following requirements are to be followed
by the Purchasing Office and City staff in the procurement of recycled goods:
1. City staffshall identify the recycled content products available and the vendors from
whom such products are available for purchase and provide the information to the
Purchasing Agent.
2. From,the information provided by City staff, the Purchasing Agent shall establish a
list of recycled products for purchase by all departnients when practicable and shall
review purchase requests to encourage substitution of recycled products when
practicable. The list shall be reviewed and updated periodically as additional products
become available.
3. The Purchasing Agent shall develop standard specifications based on existing data
bases available through recognized and accepted.sources (e.g., EPA, CIWMB, etc.) to
assist departments in identifying and purchasing recycled products, including the
development of minimum recycled content standards. Minimum,content standards
shall be reviewed and updated periodically.
4. The Purchasing Agent shall maintain a database to track the procurement of recycled
content products and shall compile, in coordination with the City Department
responsible for such activities, an annual report quantifying the City's use of
recycled content products for the purpose of determining compliance with AB 939
planning requirements,
2.16.220 Authorization to Execute Contracts
Pursuant to section 40602 of the Government Code, the Mayor must execute all contracts on.
behalf of the City, unless another City officer or employee is authorized to do so. The City
Manager and Purchasing Agent, in addition to the Mayor, in accordance with, the procurement
dollar limits established in this Chapter, are hereby authorized to execute contracts on behalf of
the City. Execution of all contracts shall be attested to by the City Clerk.
2.16.230 tandardi ation,of Equilpment/Supplies
The Purchasing Agent shall encourage standardization of equipment and supplies to promote
etficiency and reduce costs to the City. Equipi-nent and supplies standardization shall not,
however, negate the requirement to solicit competitive bids for standardized equipment and
supplies, when reasonably possible.
8-ParchasingA-v
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2.16. 40 lnsurancg,�xe�r�ents
Any individual, finu, partnership, corporation or combination thereof who is awarded a purchase
order or contract with the City must comply with all insurance requirements as established by
state law or within the limits established from time to time by the City and its insurance advisors.
2.16.250 Federal Requirements
If any section, subsection, Subdivision,, sentence, clause or phrase of this Chapter conflicts with
any federal requirements mandated for any grant funded procurement, the applicable Federal
requirements shall apply to that procurement.
2.16.260 Resale Items
Items purchased for resale, even though their form may be changed before sold to a customer,
iriav be purchased noncompetitively-, however, a reasonableness of price statement must be
included in the file. Items consigned or purchased for resale may also be given away as prizes.
A summary of resale items acquired and sold shall be submitted to the Purchasing Agent
annually for review.
116.270 Commercial Entertainment/Excursions and Competition
Comniercial entertainment/excursions provided by the City's Recreation Division to the general
public may be purchased noncompetitively by group, act name or tour agency. The negotiated
prices must be at the lowest obtainable prices based on the particulars of perfortuance/services
desired. Transportation services shall be acquired by way of the competitive bidding process,
unless it is an intrinsic part of the excursion as determined by the Purchasing Agent.
2.16.280 Designation of Surplus Personal Propert
The City Council, and any City Department Director, may declare any personal property held by
such department as surplus. Such declaration shall be in writing, and such property, together
with such written declaration, shall be delivered to the Purchasing Agent. The Purchasing Agent
shall store such property and maintain a written inventory for review by each City Department
Director. If any Department Director has a use ffirsuch property, he or she may so request from
the Purchasing Aggent, who shall have the authorit, e
to assign the property to any department
(able to make best use of such property).
2,16, 90 sale in Open Market of Sul Ins Personal Propert
Surplus City property in usable condition, if its estimated value is less than five thousand dollars
(S5,000), may be disposed of in the following manner: the Purchasing Agent shall make an
investigation of the market conditions of personal property of the type declared surplus and
determine prices for all surplus property, which in his/her opinion, will be competitive with
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prices in the open market. The Purchasing Agent may then sell such personal property at such
prices by advertising in the most appropriate means, which in his or her opinion, will bring the
greatest number of potential purchasers to include sale on a consignment basis. Ulc or she shall
cause to be published at least once, at least three days before such sale, in a newspaper of general
circulation, published and distributed in the City, a notice of the sale setting forth the day it shall
begin; the nun-iber of days it is to be continued, if it is to last more than one day; the place where
the articles may be examined, the place where the purchase price is to be paid and the property
delivered; and a general description of the type of property being sold. The terms of all such
sales shall be cash in the amount of the full purchase price. The Purchasing Agent shall give a
receipt to the purchaser of such property and keep a copy for the official files, and shall forward
a copy of such receipt to the City Treasurer's Office, together with the money so collected from
the buyer. The City Treasurer's Office shall receive and deposit such money and shall forward
the information to the Finance Director who shall credit the money received from the sale of
such property to the appropriate find account.
2,16300 Sale by Sealed Bid Auction of Surplus Personal_Pro pe
Lrty
As an alternate to the method of sale in the Open Market, the Purchasing Agent shall, in all
cases, where the estimated value of personal property is five thousand dollars (S5,000) or more,
and may, in the sale of all other personal property, where in his or her discretion,-determines it in
the best interest of City, sell surplus personal property by means of sealed bid or public auction.
In conducting an auction, the Purchasing Agent may contract with professional auctioneer, and
his/her fee may either allow a flat fee, hourly fee, or a percentage of the amount of the sale,
based upon that which is the common and customary method and rate for such auctioncering
services. The procedure for conducting such sale shall be deten-nined by the Purchasing Agent;
provided, however., that the following are included in such procedure:
A. At least one notice, three days before the sale, shall be published in a newspaper of
general circulation published and distributed in the City, containing general description of the
type of property to be sold and the time and place of such bid opening or auction.
B. That the terms of all sales shall be cash.
c. The sale by sealed bid or auction shall be to the highest responsible bidder,
I
D. That a receipt be given to the purchaser and a copy of such receipt, together with the
money received, be deposited with the City 'Treasurer's Office, and that the Finance Director
shall credit such funds to the appropriate fund account.
2.163 10 Trade-in.-Sumius, PersonalPi's
Not,�vithstanding any provisions of this Chapter for thee sale of surplus personal property in the
open niark-et or any auction, the Purchasing Agent may trade-in surplus personal property with
an amount he;she determines to be reasonable, to be allowed toward the purchase of a similar
type of personal property. Typical situations where this might apply might be in the disposal of
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used motor vehicles and other machinery and equipment for which trade-ins are commonly
permitted by the manufacturer/dealer.
2.16.320 Sale of Unserviceable Junk or crat) Personal Pronertv
When any surplus City property is deemed to be unserviceable,junk or scrap, no longer suitable
,For its original purpose, the Purchasing Agent shall dispose of such personal property by
destruction, trade or sale of said personal property at the best competitive price available in the
open market without regards to the other previsions of this Chapter.
2.16.3.30 Sale of Surplus Personal, Property to Other Public A-gencies,
Notwithstanding any other provision of this Chapter, the City Council may sell without recourse
ZZ,
to sealed bid or auction surplus personal property to other public agencies including cities,
counties, school districts, special districts and joint powers agencies as may be detern-fined by the
City Council.
116.340 Disposal,of Unclaimed Property
Notwithstanding other provisions of this Chapter, unclaimed property in the possession of the
Police Department held by the Department for the period set forth by this Code or state law for
such property, if the true owners thereof do not make claim for their return in accordance with
the provisions of Division 3, Title 6, Chapter 4 (entitled "Lost and Unclaimed Property"),
cornmencing at Section 2080 of the Civil Code may be either retained by the City upon the
finding that the property is needed for public use or may be disposed of in accordance with the
provisions set forth in this Chapter for disposing of personal surplus property.
2,16350 Disposal qt�Bic des
Notwithstanding other provisions of this Chapter, bicycles that have been lost or abandoned and
recovered by the Police Department and held by the Department for the ri-timmurn time period set
Barth`by this Code or state law, may be disposed of by the City by either auction or by placing
such bicycles with .service club, charitable agencies, other government agencies concerned with
the welfare of the poor and needy,or with individuals who are poor, needy or disadvantaged."
Section 2. Chapter 3.74 of the Redlands Municipal Code, entitled "Informal Bids for
Public Works," is hereby deleted in its entirety.
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section ). fi-ic %,,mayor simn sign this ordinance and the City Clerk shall certify to the
adoption cif dais ordhiance and CaLISC it, or a summary of'11, to be pLJbJishcd once in the Redlands
Daily Facts, a flcwspaper ot'gencral circulation �vithin the City! and thereafter, this ordinance
I C�
shall take effect in accordance xA ith law,
i\-I�tyor of the City of Redlands
ATTEST:
CitX,Clerk
1, Lorric Poyzer, City Clerk of the City of Redlands, hereby certify that the florgoing ordinance
N,vas duly adopted by the City COMICH at a regular mecting thereof held on the 18'1' day of
March, 2008 by the (bilcming vote:
AYES- COMICilmenibers Gilbreath, AgUilar; Mayor HaJTiSart
NO Councilmembers Gallagher and Bean
ABSENT: None
ABSTAIN, None
-co-r-ji� P o yz c r, C rt r C1 c r k