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HomeMy WebLinkAbout2009-05-26 - ORDINANCES - MUNICODE PURCHASING (2)ORDINANCE NO. 09-6 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA CLARITA, CALIFORNIA, AMENDING CHAPTERS 3.12 AND 3.14 OF TITLE 3, OF THE SANTA CLARITA MUNICIPAL CODE CONCERNING PURCHASING THE CITY COUNCIL OF THE CITY OF SANTA CLARITA, CALIFORNIA, DOES HEREBY ORDAIN AS FOLLOWS: SECTION 1. That the Municipal Code is hereby amended at Section 3.12.010 relating to the Adoption of Purchasing System to read as follows: "3.12.010 Adoption of Purchasing System In order to establish efficient procedures for the purchase of supplies and equipment at the lowest possible cost commensurate with quality needed, to exercise positive financial control over purchases, to clearly define authority for the purchasing function, and to assure the quality of purchasing, a purchasing system is adopted. The procedures established in Sections 3.12.050 through 3.12.270 of this chapter do not apply for the purchase of supplies and equipment for public works projects covered under Chapter 3.14." SECTION 2. That the Municipal Code is hereby amended at Section 3.12.030 relating to Purchasing Agent to read as follows: "3.12.030 Purchasing Agent There is created the position of Purchasing Agent, who shall report to the Director of Administrative Services and/or his/her designee. 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 function, 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, services and equipment. C. Act to procure for the City the needed quality in supplies, services, and equipment. D. Discourage uniform bidding, and endeavor to obtain as full and open competition as possible on all purchases. E. Through the Director of Administrative Services and the City Manager, prepare and recommend to the City Council rules governing the purchase of supplies, services, and equipment for the City. F. Prepare and recommend revisions and amendments to the purchasing rules. G Keep informed of current developments in the field of 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. Maintain a vendors list, vendors catalog file, and records needed for the efficient operation of the purchasing division." SECTION 3. That the Municipal Code is hereby amended at Section 3.12.040 relating to Purchasing Regulations to read as follows: .).12.040 Purchasing Regulations The Purchasing Agent shall be responsible for detennining that the regulations and procedures in Sections 3.12.050 through 3.12.330 are carried out." SECTION 4. That the Municipal Code is hereby amended at Section 3. 12.050 relating to Exemptions from Centralized Purchasing to read as follows: "3.12.050 Exemptions from Centralized Purchasing The City Manager may authorize, in writing, any department to purchase specified supplies, services and equipment independently of the Purchasing Division; but he shall require that such purchases shall be made in conformity with the procedures established by this chapter and shall further require periodic reports from the department on the purchases made under such written authorization." SECTION 5. That the Municipal Code is hereby amended at Section 3.12.070 relating to Requisitions to,read as follows: 3.12.070 Requisitions Using departments shall submit requests forsupplies, services, and equipment to the Purchasing Agent by standard requisition form, or by other means as may be established by the purchasing rules and regulations. Except as provided herein, no requisition form shall be processed unless the prior approval of the Purchasing Agent or designee has been obtained." SECTION 6. That the Municipal Code is hereby amended at Section 3.12.100 relating to Inspection and Testing to read as follows: "3 12 100 Inspection and Testing The Purchasing Agent shall, in his discretion, inspect supplies, services, and equipment delivered to determine their conformance with the specifications set forth in the order. The Purchasing Agent shall have authority to require chemical and physical tests of samples submitted with bids and samples of deliveries which are necessary to detennine their quality and conformance with specifications." SECTION 7. That the Municipal Code is hereby amended at Section 3. 12.140 relating to Published Notice for Formal Bids to read as follows: "3.12.140 Published Notice for Formal Bids Notices inviting formal bids shall be published at least ten (10) days prior to the date of opening of the bids. Notices shall be published at least twice in a newspaper of general circulation in the City and/or published on the City's website." SECTION 8. That the Municipal Code is hereby amended at Section 3. 12.170 relating to Bidder's Security to read as follows: 3.12.170 Bidder's Security Where deemed necessary by the Purchasing Agent, formal bids shall be accompanied by security, either cash, cashier's check, certified check or surety bond, in a sum equal to ten (10) percent of the total aggregate of the bid, and shall be designated in the notice 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 ten (10) days after the notice of award of contract has been mailed, unless the City is solely responsible for the delay in executing the contract. The City Council, or Purchasing Officer (or designee) for bids of fifty thousand dollars ($50,000) or less, may, on refusal or failure of the successful bidder to execute the contract, award it to the next lowest responsible bidder who is willing to execute the contract, or may reject all bids and readvertise." SECTION 9. That the Municipal Code is hereby amended at Section 3. 12.190 relating to Rejection of Formal Bids to read as follows: 3.12.190 Rejection of Forinal Bids In its discretion, the City Council, or Purchasing Officer (or designee) for bids of fifty thousand dollars ($50,000) or less, may reject any and all bids presented and may cause readvertising for bids pursuant to the procedure hereinabove prescribed. However, when incomplete bids are received, a defect in the solicitation of bidding process is identified after the bid opening, all bids exceed the authorized budgeted amount, or if the products or services are no longer required, the Purchasing Officer (or designee) may authorize rejection of all bids and, if appropriate, authorize rebidding based upon the original specifications or as they may be modified, in accordance with procedures prescribed herein." SECTION 10. That the Municipal Code is hereby amended at Section 3.12.205 relating to Support of Santa Clarita Businesses to read a follows: "3.12.205 Support of Santa Clarita Businesses A. Should the bidder that submits the lowest responsive bid or quote and would otherwise normally qualify to receive the bid pursuant to Sections 3.12.120, 3.12.200 and 3.12.230 of the City of Santa Clarita Municipal Code not be a Santa Clarita business as defined herein, the lowest bid or quote submitted by a Santa Clarita business that is within ten (10) percent of the lowest bid or quote, whether or not that bidder is the second lowest bidder, may be deemed to be the lowest bidder if the bidder agrees to reduce its bid to match the bid or quote of the lowest bidder in writing within one business day, and providing that the Purchasing Officer, or designee, determines that said Santa Clarita bidder is a responsible bidder submitting a bid or quote that is responsive to the City's specifications, terms, and conditions and the application of this section is appropriate. B. If the lowest Santa Clarita bidder within ten (10) percent of the lowest bid or quote does not elect to reduce its bid or quote to match the bid or quote of the lowest bidder, then the next lowest Santa Clarita bidder shall be given the opportunity to match the bid or quote of the lowest bidder as set forth above, providing that this bidder is also within ten (10) percent of the lowest bid or quote that has been deemed responsive. C. To qualify as a Santa Clarita bidder, the bidder must have a physical presence within the Santa Clarita city limits by maintaining a permanent office, factory, or other facility carried on the business records with at least one employee of the company operating out of said facility. The Purchasing Officer, or designee, is hereby granted the authority to finally determine if the bidder qualifies as a Santa Clarita bidder as set forth herein. The Purchasing Officer, or designee, may take into account the permanency of the business in Santa Clarita, and whether the business appears to be claiming to be a Santa Clarita business solely or primarily to qualify for the contract award, and any other material factors. D. This support of local business policy shall only apply to supplies, material, nonprofessional services, and equipment required for the conduct of City business, except where prohibited by state or federal law, and it shall only apply to purchases and contracts greater than two thousand dollars ($2,000). E. No contract awarded to a Santa Clarita business under this section shall be assigned or subcontracted in any manner that permits more than fifty (50) percent or more of the dollar value of the contract to be performed by an entity that is not a Santa Clarita business as defined herein. F. Solicitations for bids or quotes must include notice of this section." SECTION 11. That the Municipal Code is hereby amended at Section 3.12.230 relating to Open Market or Quote Procedures to read a follows: "3.12.230 Open Market or Quote Procedure Purchases of supplies, equipment, and services (other than professional) of an estimated value in the amount of twenty thousand dollars ($20,000) or less may be made by the Purchasing Agent in the open market pursuant to the procedure prescribed in Sections 3.12.240 through 3.12.260 and without observing the procedure prescribed in Sections 3.12.120 through 3.12.215; provided, however, all quoting may be dispensed with for purchases of supplies and equipment having a 0 total estimated value of less than two thousand dollars ($2,000). Quotes as used in this context include any solicitation following the procedures described below including, but not limited to, requests for quote and requests for proposal of twenty thousand dollars ($20,000) or less." SECTION 12. That the Municipal Code is hereby amended at Section 3. 12.270 relating to Exceptions to Competitive Bidding Requirements to read as follows: "3.12.270 Exceptions to Competitive Bidding Requirement Notwithstanding any provision of this chapter to the contrary, the competitive bidding procedures and requirements may be dispensed with in any of the following instances: A. When the estimated amount involved is less than two thousand dollars ($2,000). B. When the commodity can be obtained from only one vendor. C. The City Manager and/or his/her designee may authorize the purchase of materials, supplies, equipment, and services where an emergency is deemed to exist and it is determined that service involving the public health, safety, or welfare would be interrupted if the normal procedure were followed. All emergency purchases, which would otherwise require formal bidding procedures, made pursuant to this section shall be submitted to the City Council for ratification at the next regular Council meeting after the purchase is authorized. D. The fon-nal bid process is waived for the purchase of information technology goods or services which may be acquired through the quote procedures described in Sections 3.12.230 through 3.12.260. E. Any agreement involving acquisition of supplies, equipment, or service entered into with another governmental entity. F. Any request to waive competition for a procurement not covered by the exceptions herein must be approved by the City Council. In the event the City Council finds that it is in the public interest and necessity to purchase supplies, equipment, or services without compliance with the formal contract procedures set forth in this section, the City Council may waive such procedures by declaring so in a motion or resolution." SECTION 13. That the Municipal Code is hereby amended at Section 3. 14.030 relating to Informal Bidding to read as follows: "3.14.030 Informal Bidding Public works projects subject to informal bid procedures may be let to contract as follows: A. Purchasing shall maintain a list of qualified contractors, identified according to categories of work. Minimum criteria for development and maintenance of the contractors list shall be determined by the commission. B. All contractors on the list for the category of work being bid or all construction trade journals specified in Section 22036, or both all contractors on the list for the category of work being bid and all construction trade journals specified in Section 22036, shall be mailed a notice inviting informal bids unless the product or service is proprietary. L` C. All mailing of notices to contractors and construction trade journals pursuant to subdivision (b) shall be completed not less than 10 calendar days before bids are due. D. The notice inviting informal bids shall describe the project in general terns and how to obtain more detailed information about the project, and state the time and place for the submission of bids. E. The award of project shall be made to the lowest responsible bidder, and the Purchasing Officer (or designee) is authorized to award and execute the construction contract provided the contractor has posted the required bonds and insurance. F. If all bids received are in excess of one hundred twenty-five thousand dollars ($125,000), the City Council may, by adoption of a resolution by a four-fifths vote, award the contract, at one hundred thirty-seven thousand five hundred dollars ($137,500) or less, to the lowest responsible bidder, if it detennines the cost estimate of the public agency was reasonable." SECTION 14. That the Municipal Code is hereby amended at Section 3.14.040 relating to Maintenance of Contractor's List to read as follows: 3.14.040 Maintenance of Contractors List Prior to November 30 of each year, the Purchasing Agent shall mail written notice to all construction trade journals designated by the CUCCAC, inviting all licensed contractors to submit information on firms to be included on the list of qualified bidders, according to category, for the following calendar year. The notice shall require that the contractor provide the name and address to which a notice to contractors or proposal may be mailed, a telephone number at which the contract may be reached, the type or category of work in which the contractor is experienced and currently licensed to perform, together with the number and type of contractor's license or licenses held. The Purchasing Agent shall assemble an updated contractors list to be effective January 1 of each year, which shall include all contractors who submitted one or more valid bids to the City during the preceding calendar year and all contractors who have properly provided the Purchasing Agent with the information described above. A contractor may be added to the list at any time during the year by providing the Purchasing Officer with the information described above." SECTION 15. That the Municipal Code is hereby amended at Section 3.14.050 relating to Public Projects Included to read as follows: 9.14.050 Public Projects Included Public projects will be perforned pursuant to the Unifonn Public Construction Cost Accounting Act and this Chapter. Public projects include the following: A. Construction, reconstruction, erection, alteration, renovation, improvement, demolition, and repair work involving any publicly owned, leased, or operated facility. B. Painting or repainting of any publicly owned, leased, or operated facility. C. In the case of a publicly owned utility system, "public project" shall include only the construction, erection, improvement, or repair of dams, reservoirs, power plants, and electrical transmission lines of 230,000 volts and higher. Cel A "facility" means any plant, building, structure, ground facility, utility system, subject to the limitation found in paragraph (C) above, real property, streets and highways, or other public work improvement." SECTION 16. That the Municipal Code is hereby amended at Section 3. 14.060 relating to Rejection of Bids to read as follows: "3.14.060 Rejection of Bids The City reserves the right to reject any and all bids presented. Should the City exercise this right, the procedures outlined in Public Contract Code 22038 will be observed." SECTION 17. This Ordinance shall be in full force and effect thirty (30) days from its passage and adoption. SECTION 18. The City Clerk shall certify to the passage of this Ordinance and shall cause the same to be published as required by law. PASSED, APPROVED, AND ADOPTED this 26th day of May 2009. 1 ATTEST: J4�� XgA CITY CLERK 1 7 STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF SANTA CLARITA ) I, Sharon L. Dawson, CMC, City Clerk of the City of Santa Clarita, do hereby certify that the foregoing Ordinance 09-6 was regularly introduced and placed upon its first reading at a regular meeting of the City Council on the 12th day of May 2009. That thereafter, said Ordinance was duly passed and adopted at a regular meeting of the City Council on the 26th day of May 2009, by the following vote, to wit: AYES: COUNCILMEMBERS: Weste, Kellar, McLean, Ender, Ferry NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None CITY CLERK 1 STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF SANTA CLARITA ) CERTIFICATION OF CITY COUNCIL ORDINANCE I, Sharon L. Dawson; City Clerk of the City of Santa Clarita, do hereby certify that this is a true and correct copy of the original Ordinance 09-6, adopted by the City Council of the City of Santa Clarita, CA on May 26, 2009, which is now on file in my office. Witness my hand and seal of the City of Santa Clarita, California, this 26th day of May 2009. Sharon L. Dawson, MMC City Clerk By Susan L. Caputo, CMC Deputy City Clerk 1 00