HomeMy WebLinkAbout1998-06-09 - AGENDA REPORTS - ORD 98-15 (2)AGENDA REPORT
4!:
City Manager Approval
Item to be presented by: Steve Stark
NEW BUSINESS
DATE: June 9, 1998
SUBJECT: ORDINANCE NO. 98-15 - REVISION TO SANTA CLARITA MUNICIPAL
CODE REGARDING PURCHASING POLICY, CHAPTERS 3.12,
INCREASING THE CITY MANAGER'S CONTRACT/EXPENDITURE
AUTHORITY
DEPARTMENT: Administrative Services
City Council introduce and pass to second reading Ordinance 98-15, amending the Santa
Clarita Municipal Code at Title 3 to amend Chapter 3.12 relating to purchases, increasing the
City Manager's contractlexpenditure authority.
BACKGROUND
At the Budget Study Session of June 2, 1998, the City Council discussed the City Manager's
contract/signature authority and whether that limit should be increased. As a result of that
meeting, it was determined that the limit should be increased to $50,000.
Increasing the limit to $50,000 would increase efficiency by significantly reducing the number
of smaller contracts, which must now be approved by the City Council. With the current
agenda process, it can take three weeks or more to get approval on contracts, which oftentimes
have a needforexpediency.
The City Manager currently has $20,000 signature authority for all contracts, with the
exception of public works contracts, which is $75,000, as defined by government code and the
Santa Clarita Municipal Code.
It is important to note that all purchasing guidelines and policies will still be required and
followed. The only part of the process that will change is the limit which the City Manager will
be able to award and sign contracts.
O� tN3J-6
ORDINANCE NO. 98-15
June 9, 1998 — Page 2
ALTERNATIVE ACTIONS
1. Maintain the current contract signature authority of $20,000.
2. Increase the City Managers contract authority by an amount to be determined by the City
Council.
3. Other action as determined by the City Council.
FISCAL IMPACT
There is no fiscal impact associated with this item; however, there is potential cost -savings as
a result of less staff time being committed to the agenda process, as well as keeping routine
operational issues off the agenda.
ATTACHMENT
Ordinance No. 98-15 - Revisions to the Santa Clarita Municipal Code regarding Purchasing
Policy, Chapter 3.12, increasing the City Manager's Contract/Expenditure Authority.
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ORDINANCE NO. 98-15
AN ORDINANCE OF THE CITY COUNCIL OF THE
CITY OF SANTA CLARITA, CALIFORNIA
AMENDING THE MUNICIPAL CODE AT TITLE 3
AMENDING CHAPTERS 3.12 RELATING TO PURCHASES
THE CITY COUNCIL OF THE CITY OF SANTA CLARITA, DOES ORDAIN AS FOLLOWS:
SECTION 1. That the Santa Clarita Municipal Code is hereby amended at Title 3, Revenue
and Finance, to amend Chapter 3.12 to read as follows:
CN.."Id DI NK
PURCHASES
3.12.025
Purchasing Officer
3.12.030
Purchasing Agent
3.12.200
Award of Formal Bid Contracts
3.12.025. Purchasing Officer. There is created the position of Purchasing Officer, who
shall be the City Manager. The Purchasing Officer (or designee) may authorize and execute all
documents relating to procurement actions of $50,000 or less.
3.12.030. Purchasing Agent. There is created the position of Purchasing Agent, who
shall report to the Accounting Manager. The Purchasing Agent shall have the authority to:
A. Purchase or contract for supplies and equipment required by any using agency in
accordance .with purchasing procedures prescribed by this chapter, such administrative
regulations as the purchasing agent shall adopt for the internal management and operation
of the purchasing division and such other rules and regulations as shall be prescribed by the
City Council or the City Manager.
B. Negotiate and recommend execution of contracts for the purchase of supplies and
equipment;
C. Act to procure for the City the needed quality in supplies and equipment;
D. Discourage uniform bidding, and endeavor to obtain as full and open competition as
possible on all purchases;
E. Prepare and recommend to the City Council rules governing the purchase of supplies
and equipment for the City;
ORDINANCE NO. 98-15
Page 2
F. Prepare and recommend revisions and amendments to the purchasing rules;
G. Keep informed of current developments in the field or purchasing, prices, market
conditions and new products;
H. Prescribe and maintain such forms as are reasonably necessary for the operation of
this chapter and other rules and regulations;
I. Supervise the inspection of all supplies and equipment purchased to insure
conformance with specifications;
J. Recommend the transfer of surplus or unused supplies and equipment between
departments as needed;
K. Maintain a vendors' list, vendors' catalog file and records needed for the efficient
operation of the purchasing division.
3.12.200. Award of Formal Bid Contracts. Except as otherwise provided herein,
formal bid contracts exceeding $50,000 shall be awarded by the City Council to the lowest
responsible bidder. Formal bid contracts of $50,000 or less may be awarded by the Purchasing
Officer (or designee). The determination of "lowest responsible bidder" shall be at the discretion
of the City Council pursuant to findings and recommendations presented by the Purchasing
Officer (or designee) at the time of award of contracts over $50,000.
PASSED AND APPROVED this day of , 1998.
ATTEST:
CITY CLERK
ORDINANCE NO. 98-15
Page 3
STATE OF CALIFORNIA)
COUNTY OF LOS ANGELES) SS
CITY OF SANTA CLARITA)
I, Sharon L. Dawson, City Clerk, of the City of Santa Clarita, do hereby certify that the
foregoing Ordinance No. 98-15 was regularly introduced and placed upon its first reading at a
regular meeting of the City Council on the day of ,1998. That thereafter,
said Ordinance was duly adopted and passed at a regular meeting of the City Council of the
day of , 1998 by the following vote, to wit:
AYES: COUNCILMEMBERS
NOES: COUNCILMEMBERS
ABSENT: COUNCILMEMBERS
SHARON L. DAWSON, CMC
CITY CLERK
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