[HISTORY: Adopted by the Board of Trustees of the Village of Chester 6-8-1992. Amendments noted where applicable.]
ATTACHMENTS
Attachment 1 - Appendix A - Procurement GuidelinesAttachment 2 - Appendix B - Code of Ethics For Purchasing Agent
[Amended 10-4-2010 by L.L. No. 1-2010; 5-15-2012 by L.L. No. 1-2012; 1-11-2016 by L.L. No. 1-2016]
Every purchase to be made must be initially reviewed by the Village officer, board, department head or other individual with the requisite purchasing authority (hereinafter "purchaser") to determine whether it is a purchase contract or a public works contract. Once that determination is made, the purchaser shall make a good faith effort to determine whether the cumulative amount likely to be spent by the Village in a fiscal year on the particular item of supply or service exceeds, or will exceed, the monetary limits requiring competitive bidding, taking into account past purchases. In making such a determination, the purchaser shall canvas other Village departments whenever necessary or appropriate. If the purchase, whether budgeted for or not, shall exceed $7,500 for a purchase contract or $7,500 for a public works contract, then the purchaser must, in addition to the other requirements contained in this chapter, obtain the approval, by majority vote, of the Board of Trustees of the Village. The information gathered and the conclusions reached shall be documented and filed with the Village Clerk, who shall keep the same with the file or other documentation supporting the purchase activity.
A. 
The following items are not subject to competitive bidding pursuant to § 103 of the General Municipal Law:
(1) 
Purchase contracts under $20,000 and public works contracts under $35,000 or such other limits as may be set, from to time, through amendments to § 103 of the General Municipal Law.
[Amended 10-4-2010 by L.L. No. 1-2010]
(2) 
Emergency purchases.
(3) 
Goods purchased from agencies for the blind or severely handicapped.
(4) 
Goods purchased from correctional institutions.
(5) 
Purchases under state and county contracts.
(6) 
Surplus and secondhand purchases from another governmental entity.
B. 
In the case of a purchase which involves a combination of professional services and the purchase of goods or equipment, the purchaser shall analyze whether the professional service is the predominant part of the transaction and is inextricably integrated with the purchase. If the procurement involves the purchase of an essentially off-the-shelf product and the professional services are incidental, the procurement shall be deemed a purchase contract and treated accordingly.
C. 
The decision that a purchase is not subject to competitive bidding will be documented, in writing, by the purchaser. This documentation may include written or verbal quotes from prospective vendors, a memo from the purchaser indicating how the decision was arrived at, a copy of the contract indicating the source which makes the item or service exempt, a memo from the purchaser detailing the circumstances which led to an emergency purchase or any other written documentation that is appropriate.
A. 
All goods and services, except as provided in § 20-7 below, will be secured by use of written requests for proposals (RFP), written quotations, verbal quotations or any other method determined by the purchaser to assure that goods will be purchased at the lowest price and that favoritism will be avoided. Unless the purchaser determines to use another method and documents why such other method will assure that goods will be purchased at the lowest possible price and that favoritism will be avoided, the method to be used shall be:
[Amended 10-4-2010 by L.L. No. 1-2010; 1-11-2016 by L.L. No. 1-2016]
Estimated Amount of Purchase Contract
Method
$1,000 to $2,999
At least 2 verbal quotations
$3,000 to $4,999
At least 2 written/fax/e-mail quotations
$5,000 to $19,999
At least 3 written/fax/e-mail quotations or written requests for proposals
Estimated Amount of Public Works Contract
Method
$500 to $4,999
At least 2 verbal quotations
$5,000 to $9,999
At least 2 written/fax/e-mail quotations
$10,000 to $34,999
At least 3 written/fax/e-mail quotations or written requests for proposals
B. 
Unless otherwise determined by the Village Board, all leases shall be treated as purchase contracts. The purchaser shall make a good faith effort to obtain the required number of proposals or quotations. If the purchaser is unable to obtain the required number of proposals or quotations, the purchaser will document the attempt made at obtaining the proposals. In no event shall the failure to obtain the proposals be a bar to the procurement.
C. 
Any written RFP shall describe the desired goods or services, quantity and the particulars of delivery. The purchaser shall have the RFP published in a newspaper of general circulation or mail the RFP at least five potential vendors. The purchaser shall also compile a list of all vendors from whom written/oral quotes have been requested and the written/oral quotes offered.
D. 
All information gathered in complying with the procedures of this policy shall be preserved and filed with the Village Clerk to be filed with the documentation supporting the purchase or public works contract.
The purchaser may conduct discussions with responsible offerers who submit proposals or quotes determined to be reasonably susceptible of being selected for award for the purpose of clarification to assure full understanding of and responsiveness to the solicitation requirements. Offerers shall be accorded fair and equal treatment with respect to any opportunity for discussion and revision of proposals or quotes, and such revisions may be permitted after submissions and prior to award for the purpose of obtaining best and final offers. In conducting discussions, there shall be no disclosure of any information derived from proposals or quotes submitted by competing offerers.
A. 
Documentation is required of each action taken in connection with each procurement in accordance with Appendix A[1] annexed hereto. The purchaser will refer any legal issues regarding the applicability of competitive bidding requirements or this procurement policy to the Attorney for the Village.
[1]
Editor's Note: Appendix A is included at the end of this chapter.
B. 
Documentation and an explanation is required whenever a contract is awarded to other than the lowest priced offeror. This documentation will include an explanation of how the award will achieve savings or in what respect the lowest priced offeror was not responsible or in what respect the proposal of the lowest priced offeror was not responsive to the solicitation and the Village's needs. A "responsible" offeror means a person who has the capacity in all respects to perform fully the contract requirements and the integrity and reliability which will ensure good faith performance. The unreasonable failure of an offeror promptly to supply information in connection with an inquiry with respect to responsibility may be grounds for a determination of nonresponsibility with respect to such bidder. Any determination that the offeror is not responsible shall be made by the purchaser; no such determination may be challenged under any circumstances.
Any RFP or other solicitation may be canceled, or any or all proposals may be rejected in whole or in part, when in the judgment of the purchaser it is in the best interests of the Village so to do. The reasons therefor shall be made part of the contract file, but every effort should be made not to reject offers after prices have been publicly disclosed.
Pursuant to General Municipal Law § 104-b(2)(f), the Village considers the following to constitute circumstances in which it may not be in the best interests of the Village of Chester to solicit quotations or to document the basis for not accepting a lowest bid:
A. 
Professional services or services requiring special or technical skill, training or expertise. The individual or company to provide such services shall be chosen based on accountability, reliability, responsibility, skill, education and training, judgment, integrity and moral worth. These qualifications will not necessarily be found in the individual or company that offers the lowest price, and the nature of these services are such that they do not readily lend themselves to competitive procurement procedures. In determining whether a service fits into this category, the purchaser shall take into consideration the following guidelines: whether the services are subject to state licensing or testing requirements; whether substantial formal education or training is a necessary prerequisite to the performance of the services; and whether the services require a personal relationship between the individual and municipal officials. Professional or technical services shall include but not be limited to the following: services of an attorney; services of a physician; technical services of an engineer or architect; securing insurance coverage and/or services of an insurance broker; services of a certified public accountant; investment management services; printing services involving extensive writing, editing or art work; management of municipally owned property; and computer software or programming services for customized programs, or services involving substantial modification or customizing of prepackaged software.
B. 
Emergency purchases pursuant to § 103, Subdivision 4, of the General Municipal Law. An "emergency" is defined as a situation which arises out of an accident or unforeseen occurrence or condition which affects public buildings, public property or the life, health, safety or property of the Village's residents and which requires immediate action which cannot await competitive bidding. Due to the nature of this exception, these goods or services must be purchased immediately, and a delay in order to seek alternate proposals may threaten the life, health, safety or welfare of the residents. This section does not preclude alternate proposals if time permits.
C. 
Purchases of surplus and secondhand goods from any source. If alternate proposals are required, the Village may be precluded from purchasing surplus or secondhand goods at auctions or through specific advertised sources where the best prices are usually obtained. It is also difficult to try to compare prices of used goods, and a lower price may indicate an older product.
D. 
Goods or services under $500. The time and documentation required to purchase through this policy may be more costly than the item itself and would therefore not be in the best interests of the taxpayer. In addition, it is not likely that such de minimis contracts would be awarded based on favoritism.
E. 
Sole source. Since patented or monopoly items are only available from a single source, the policy of obtaining alternative proposals is inapplicable.
The Village adopts the Code of Ethics for purchasing agents set forth in the Financial Management Guide for Local Governments § 8,0070, page 8, and every purchaser shall comply with the code. (A copy of the code is set forth as Appendix B.)[1]
[1]
Editor's Note: Appendix B is included at the end of this chapter.
The unintentional failure to fully comply with the provisions of General Municipal Law § 104-b shall not be grounds to void action taken or give rise to a cause of action against the Village of Chester or any officer or employee thereof.
This policy shall go into effect on January 1, 1992, and will be reviewed annually.