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HomeMy WebLinkAboutOrdinance 1457 PW Bidding Purchase AgreementsORDINANCE NO. 1457 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BALDWIN PARK, CALIFORNIA, AMENDING MUNICIPAL CODE REGARDING PUCHASING OFFICER DESIGNATION; BIDDING; EXCEPTIONS, CHAPTER 34.23; COOPERATIVE PURCHASING AGREEMENTS, CHAPTER 34.37; CONTRACT SERVICES, CHAPTER 34.38 AND PUBLIC WORKS CONTRACT, CHAPTER 34.39 OF PURCHASING WHEREAS, the City of Baldwin Park's purchasing code requires periodic updates in order to reflect best practices in procurement; and WHEREAS, Section 10.17 (A) of the Baldwin Park Municipal Code states that "If the legislative body shall desire to amend any existing chapter or section of this code, the chapter or section shall be specifically repealed and a new chapter or section, containing the desired amendment, substituted in its place." NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF BALDWIN PARK, CALIFORNIA, DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1. The majority purchasing sections of the Municipal Code were last updated in 1995 with the adoption of Ordinance No. 1101. It designated the Director of Administrative Services as Purchasing Officer. In reviewing the City's current Organization Chart, it became apparent that the Municipal Code is not consistent with the Organization Chart and does not reflect current best practices. The legislative body desire to amend the designation and designate the Chief Executive Officer as Purchasing Officer. SECTION 2. That sections 34.23; Sections 34.37; sections 34.38 and section 34.39 of the Baldwin Park Municipal Code hereby amended as set forth in EXHIBIT "A" attached hereto. SECTION 3. The City Clerk shall certify to the passage of this ordinance and shall cause the same to be entered in the book of original ordinances of said City; shall make a minute passage and adoption thereof in the records of the meeting at which time the same is passed and adopted; and shall, within fifteen (15) days after the passage and adoption thereof, cause the same to be published as required by law, in a local weekly newspaper of general circulation and which is hereby designated for that purpose. § 34.23 BIDDING; EXCEPTIONS. Purchases of supplies and equipment for city use shall be made and accomplished in conformity with §§ 34.26 through 34.34, except: Emergency Purchases: The City is not required to engage in either informal or formal competitive bidding in an emergency. The City Council delegates to the CEO the authority to waive any procedures in the Purchasing Guidelines that are not statutorily mandated when making emergency purchases of supplies, equipment, materials or services. "Emergency Purchases" shall be made only for the reasons of preserve or protect life, health or property or upon natural disaster or forestall a shutdown of essential public services. The CEO may sign contracts to be later ratified by the City Council up to any amount as deemed necessary. (B) Sole Source Purchases: Commodities and services that can be obtained from only one vendor are exempt from competitive bidding. Sole source purchases may include, but are not limited to, proprietary items sold directly from the manufacturer, items that have only one distributor authorized to sell in this area or a certain product proven to be the only acceptable option. All sole source purchases shall be supported by written documentation signed by the appropriate department head and forwarded to The Finance Director or Designee. Final determination of whether or not an item is a valid sole source purchase will be made by the Purchasing Officer or Designee. A sole source decision is not permitted merely upon the grounds that such approach is the most convenient or that the subject is preferred by the staff. (C) Cooperative Purchases: Cooperative purchasing is used by municipalities or States in the purchase of goods and services. This arrangement offers the participants significant economies of scale. Although one municipality may issue specifications and receive bids, each entity independently executes its own contract, administers the procurement function, and finances the purchase. This is an acceptable practice that allows municipal agencies to "piggy -back" on contracts and bids for services and supplies issued by a wide range of other governmental agencies. Cooperative purchasing agreements may be entered into with state, local governments, and non-profit entities. (D) Purchase Order Exemptions: Certain purchases are not readily adaptable to the open market and formal bidding process. These purchases are generally for items where the competitive bid process or obtaining quotes is not applicable or where a check is required to accompany the order. Following is a list of allowable exemptions: Advertisements and Notices Membership dues Insurance Claims and Premiums Utility Payments Subscriptions Travel Expense/Advances (E) When the City Council by a four -fifths vote determines to dispense with such bidding and other procedures required by the above -mentioned sections in any individual instance upon a finding by the Council that it would be impractical, useless, or uneconomical in such instance to follow the procedures, and that the welfare of the public would be promoted by dispensing with the same. ('83 Code, § 3.08.040) (Ord. 819, passed - -81; Am Ord. 845, passed - -82; Am. Ord. 1101, passed 5-17-95) 434.37 - Professional Services Professional services are unique by their nature; therefore, they are not subject to competitive bidding. When procuring specialized services, the City is principally dependent upon the skill, integrity, judgment, and ability of the service provider rather than the dollar cost of the direct labor and material. Pursuant to Section 37103 of the Government Code, "the legislative body may contract with any specially trained and experienced person, firm, or corporation for special services and advice in financial, economic, accounting, engineering, legal or administrative matters. It may pay such compensation to these experts as it deems proper." When contracting for architectural, landscape architectural, engineering, environmental, land surveying, and construction project management services, requirements of Sections 4525 through 4529.5 of the Government Code must be met unless the Chief Executive Officer determines that the services needed are more of a technical nature and involve little professional judgment and that requiring bids would be in the public interest." For outsource services such as City Attorney, Waste Collection Services, Information Technology, and other ongoing professional services, the City Council may extend such contracts upon evaluation and recommendation. Upon a successful evaluation, the contract may be extended. The agreement will normally give both the City and the contractor/consultant the ability to end the contract with 30 days (or longer) notice and may give the City (or the City Council) the ability to terminate the agreement at any time. Contracts for legal defense, legal advice, or legal services are specifically exempt from competitive bidding in the California Public Contract Code ("PCC"). The City of Baldwin Park will follow state law and the PCC regarding all legal services. PCC Section 10335.5 (c)(4) states as follows: "the following consulting services contracts are exempt from the advertising and bidding requirements of this article... (4) contracts for legal defense, legal advice or legal services." See Public Contract Code 10335.5(c)(4) Professional Services, except contracts for legal defense, legal advice, or legal services, shall be obtained by soliciting at least three (3) Requests for Proposals (RFP's). For amounts up to $24,999.99, three verbal quotes can be obtained and the CEO may approve the agreement. For amounts between $25,000 and $100,000 three informal written quotes can be obtained. For amounts over $100,000, three formal written quotes are required. All agreements over $24,999.99 shall be approved by the City Council and signed by the Mayor. The City Council may also direct staff to waive the RFP process for professional services in the situation of emergency, in conformity with § 34.23 and under circumstances of when it is not in the best financial interest of the public. For all professional service contracts, over $24,999.99, except contracts for legal defense, legal advice, or legal services, the standard Consultant Agreement shall be used and a separate "Scope of Work" attached. Once completed, these documents shall be submitted to the City Attorney for review and approval. § 34.38 PUBLIC PROJECTS Public project — as defined by the California Public Contract Code, is a project for the construction, reconstruction, erection, alteration, renovation, improvement, demolition, painting, repainting, or repair of any publicly owned, leased or operated facility. When contracting for public projects, The City will compliant with The Uniform Public Construction Cost Accounting Procedures in Accordance with Section 22000 to Section 22045 of the Public Contract Code. The contract is awarded to the lowest responsible bidder. Dollar Thresholds Value of Purchase PO Level of Agreement Purchase Method Required Approval Format Under- Written Yes CEO CEO approved $60,000 Quotes contract $60,000- Informal bid Yes City Council City Council $200,000 process approved contract Over $200,000 Formal bid Yes City Council CEO approved contract Levels of Bidding Required (A) Force account, negotiations, or PO — public projects up to $60,000 (B) Informal bidding procedures — public projects up to $200,000/CEO authority • Notice inviting bids must be mailed to construction trade journals • Notice can also be provided to list created by City for category or work to be bid • Notice can be sent to any other contractors or construction trade journal • If product/service is proprietary in nature, the City can limit notice to those contract(s) that can provide such product or service • Notices must be sent at least 10 days before the bids are due • Award to lowest responsible bidder (C) Formal bidding procedures — public projects over $200,000 0 Requires sealed bid procedure • NON -COLLUSION AFFIDAVIT -BIDDER OF A PRINCIPAL CONTRACT (EXHIBIT B) needs to be included in the bid package • Notice must state time and place for receiving and opening of sealed bids • Notice must be published at least 14 calendar days before opening of bid in newspaper of general circulation • Notice must be sent electronically to publications listed in the City's list at least 15 days before opening of bids • Additional notice may be provided • Award to lowest responsible bidder Information for Mailed Notice When submitting notices for bids for jobs, the following information should generally be included: • Project title and contract number if applicable • Cost range • Location of site • Who is taking bids — i.e., City of Baldwin Park Public Works Department • Date and time bids are due • Contact address, phone, and e-mail • Architect's/Engineer's address and phone number if applicable • Brief description of work to be done • Location where plans may be obtained and if deposit is required/refundable • Percentage of bid bond/percentage of performance bond/percentage of payment bond First read at a regular meeting of the City Council of the City of Baldwin Park held on the November 18, 2020 and adopted and ordered published at a regular meeting of said Council on the 2nd day of December, 2020. PASSED, APPROVED, AND ADOPTED this 2"dday of • • ATTEST: STATE OF CALIFORNIA COUNTY OF LOS ANGELES SS: CITY OF BALDWIN PARK ember, 2020. I, LOURDES MORALES, Chief Deputy City Clerk of the City of Baldwin Park, do hereby certify that the foregoing ordinance was introduced and placed upon its first reading at a regular meeting of the City Council on December 2, 2020. Thereafter, said Ordinance No. 1457 was duly approved and adopted at a regular meeting of the City Council on December 2, 2020 by the following vote to wit: AYES: COUNCIL MEMBERS: Avila, Ayala, Garcia, Hernandez, Lozano NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None ABSTAIN: COUNCIL MEMBERS: None 4XLZI UES MORALES, CHIEF DEPUTY CITY CLERK