[HISTORY: Adopted by the Mayor and Council
of the Borough of Montvale 10-13-1964 by Ord. No. 478 (Ch. 87 of the 1966 Code).
Amendments noted where applicable.]
This chapter shall be known and may be cited
as the "Purchasing Ordinance of the Borough of Montvale."
For the purposes of this chapter, the following
terms, phrases, words and their derivations shall have the meanings
given herein:
The Borough of Montvale.
The Purchasing Agent of the Borough of Montvale.
The Finance Committee of the Borough of Montvale.
Includes all telephone, gas, water, electric light and power
service, insurance, rental, repair or maintenance of equipment, machinery
and other Borough-owned personal property. The term shall not include
professional and other contractual services which are in the nature
unique and are not subject to competition.
The Council liaison to the using department.
[Added 12-10-1996 by Ord. No. 96-1044]
The Mayor and Council of the Borough of Montvale.
Includes all supplies, materials and equipment.
Any department, agency, commission, bureau or unit in the
Borough government using supplies or procuring contractual services
as provided for in this chapter.
There is hereby established in the administrative
and executive service of the Borough the Purchasing Department and,
in said Department, the office of Borough Purchasing Agent.
The Borough Purchasing Agent shall be the head
and have general supervision of the Purchasing Department. The Purchasing
Agent shall perform all duties required of a department head by law
and shall have the powers and duties prescribed by this chapter.
A.
The Purchasing
Agent shall be appointed by resolution of the governing body of the
Borough of Montvale at its annual reorganization meeting.
B.
The Purchasing
Agent shall have the power and it shall be his/her duty to purchase
or contract for all supplies and contractual services needed by any
using department of the Borough, in accordance with purchasing procedure
as prescribed by this chapter and such rules and regulations as the
Purchasing Agent shall adopt, with the approval of the Borough Administrator,
for the internal management and operation of the Purchasing Department.
[Amended 12-10-1996 by Ord. No. 96-1044]
(1)
Except as herein
provided, is shall be unlawful for any Borough officer, officers or
employees to order or purchase any supplies or make any contract within
the purview of this chapter other than through the Purchasing Department,
and any purchase ordered or contract made contrary to the provision
hereof shall not be approved by the Borough Purchasing Agent, and
the Borough shall not be bound thereby.
C.
In addition to the purchasing authority conferred in § 91-4B above and in addition to any other powers and duties conferred by this chapter, the Purchasing Agent shall insofar as possible and to the best of his ability:
(1)
Act to procure
for the Borough the highest quality in supplies and contractual services
at the least expense to the Borough.
(2)
Discourage
uniform bidding and endeavor to obtain as full and open competition
as possible on all purchases and sales.
(3)
Establish and
amend, when necessary, all rules and regulations authorized by this
chapter and any other necessary to its operation, with the approval
of the Borough Administrator.
[Amended 12-10-1996 by Ord. No. 96-1044]
(4)
Keep informed
of current developments in the field of purchasing prices, market
conditions and new products and secure for the Borough the benefits
of research done in the field of purchasing by other governmental
jurisdictions, national technical societies, trade businesses and
organizations.
(5)
Prescribe and
maintain such forms as he shall find reasonably necessary to the operation
of this chapter.
(6)
Prepare, adopt
and maintain a vendor's catalog file. Said catalog shall be filed
according to materials and shall contain descriptions of vendor's
commodities.
(7)
Explore the
possibilities of buying in bulk so as to take full advantage of discounts,
including the possibility of buying jointly and in concert with neighboring
municipalities in accordance with the New Jersey Statutes.
(8)
Act so as to
procure for the Borough all federal tax exemptions to which it is
entitled.
(9)
Have the authority
to declare vendors who default on their quotations irresponsible bidders
and to disqualify them from receiving any business from the municipality
for a stated period of time.
(10)
Prepare and
adopt a standard purchasing nomenclature for using departments and
suppliers.
All using departments either by or with the
authorization of the head of the department under which the using
department operates shall file with the Purchasing Agent detailed
requisitions or estimates of their requirements in supplies and the
contractual services in such manner and at such times and for such
future periods as the Purchasing Agent shall prescribe.
A.
The Purchasing
Agent shall examine each requisition or estimate and shall have the
authority to revise it as to quantity, quality or estimated cost,
but revision as to quality shall be in accordance with the standards
and specifications established pursuant to this chapter.
Except in case of emergency, the Purchasing
Agent shall not issue any order for the delivery on a contract or
open-market purchase unless there are sufficient funds after preaudit
that there is to the credit of the using departments concerned a sufficient
unencumbered appropriation balance in excess of all unpaid obligations,
to defray the amount of such order.
Any purchase order or contract within the purview
of this chapter in which any officer or employee of the Borough is
financially interested, directly or indirectly, shall be void, except
that before the execution of a purchase order or contract, the Council
shall have the authority to waive compliance with this section when
it finds such action to be in the best interests of the Borough.
A.
The Purchasing
Agent and every officer and employee of the Borough are expressly
prohibited from accepting directly or indirectly from any person,
company, firm or corporation to which any purchase order or contract
is or might be awarded any rebate, gift, money or anything of value
whatsoever, except where given for the use and benefit of the Borough.
All purchases of and contracts for supplies
and contractual services and all sales of obsolete equipment shall,
except as specifically provided herein, be based wherever possible
on competitive bids.
[Amended 12-10-1996 by Ord. No. 96-1044]
All supplies and contractual services, except
as otherwise provided herein, when the estimated cost thereof shall
exceed the bid threshold as established by the State of New Jersey
from time to time, shall be purchased by formal, written contract
from the lowest responsible bidder after due notice inviting proposals
as required by the Revised Statutes of New Jersey.
A.
When deemed necessary
by the Borough, bid deposits shall be prescribed in the public notices
inviting bids. Unsuccessful bidders shall be entitled to return of
surety when the Borough has required such. A successful bidder shall
forfeit any surety required by the Borough upon failure on the bidder's
part to enter a contract within 10 days after the award unless circumstances
beyond the control of the bidder do not permit the execution of said
contract within said period of time.
B.
Bid opening procedure.
(1)
Sealed bids
shall be presented to the Purchasing Agent, Administrator or the Mayor
and Council and shall be identified as bids, including purpose and
date and time bids are due, on the exterior of the sealed envelope.
(2)
Bids shall
be opened in public at the time and place stated in the public notice.
The Purchasing Agent or Administrator shall provide a complete written
report on the bid results to the Mayor and Council at the next available
meeting of the Mayor and Council.
C.
The Mayor and Council
shall have the authority to reject all bids, parts of all bids or
all bids for any one or more supplies or contractual services included
in the proposed contract, when the public interest will be served
thereby.
D.
Award of contract.
(1)
The Mayor and
Council shall not award the bid of a contractor or supplier who is
in default on the payment of taxes, licenses or other moneys due to
the Borough.
(2)
Contracts shall
be awarded to the lowest responsible bidder. In determining lowest
responsible bidder, in addition to price, the Purchasing Agent and
Administrator shall consider:
(a)
The ability,
capacity and skill of the bidder to perform the contract or provide
the service required.
(b)
Whether
the bidder can perform the contract or provide the service promptly
or within the time specified, without delay or interference.
(c)
The character,
integrity, reputation, judgment, experience and efficiency of the
bidder.
(d)
The quality
of performance or previous contracts or services.
(e)
The previous
and existing compliance by the bidder with laws and ordinances relating
to the contract or service.
(f)
The sufficiency
of the financial resources and ability of the bidder to perform the
contract or provide the service.
(g)
The quality,
availability and adaptability of the supplies or contractual services
to the particular use required.
(h)
The ability
of the bidder to provide future maintenance and service for the use
of subject of the contract.
(3)
When the award
is not given to the lowest bidder, a full and complete statement of
the reasons for placing the order elsewhere shall be prepared by the
Purchasing Agent or Administrator and filed with the other papers
relating to the transaction, including a full report to the Mayor
and Council, prior to the award of said contract.
(4)
(Reserved)
(5)
The Borough
shall have the authority to require a performance bond before entering
a contract, in an amount which is at a minimum of 100% of the bid
amount, or in a higher amount as the Borough shall find reasonably
necessary, to protect the best interests of the Borough.
E.
No contract or
purchase shall be subdivided to avoid the requirement of this section.
[Amended 12-10-1996 by Ord. No. 96-1044]
All purchases of supplies and contractual services of less than the estimated value of the bid threshold as established from time to time by the State of New Jersey shall be made in the open market without newspaper advertisement and without observing the procedure prescribed in § 91-9 for the award of formal contracts, except that all requisitions shall first be approved by the Borough Administrator after the using department has submitted the requisition to the Purchasing Agent and the Purchasing Agent has certified the funds have been set forth and contemplated by the budget of the Borough of Montvale.
A.
All open-market purchases shall, whenever possible, be based on at least three competitive bids and shall be awarded to the lowest responsible bidder in accordance with the standards set forth in § 91-9D(2) above.
C.
The Purchasing
Agent shall keep a record of all open-market orders and the bids submitted
in competition thereon.
[Amended 12-10-1996 by Ord. No. 96-1044]
Emergency purchases shall be made as follows:
A.
By the Purchasing
Agent or Borough Administrator. In case of an apparent emergency which
requires immediate purchase of supplies or contractual services, the
Borough Administrator shall be empowered to authorize the Purchasing
Agent to secure by open-market purchase, as herein set forth, at the
lowest obtainable price any supplies or contractual supplies or contractual
services, regardless of the amount of the expenditure, pursuant to
state law.
(1)
A full report
of the circumstances of an emergency purchase shall be filed by the
Purchasing Agent or the Borough Administrator with the Mayor and Council
and shall be entered in the minutes of the Council.
B.
By the department
head. In case of actual emergency and with the consent of the Purchasing
Agent or Administrator, insofar as there are sufficient funds, the
head of any using department may purchase directly any supplies whose
immediate procurement is essential to prevent delays in the work of
the using department which may vitally affect the life, health or
convenience of citizens, pursuant to state law.
(1)
The head of such using department shall send to the Purchasing Agent a requisition and a copy of the delivery record together with a full written report of the circumstances of the emergency. The report shall be filed with the Mayor and Council as provided in § 91-11A above.
(2)
The Purchasing
Agent shall prescribe by rules and regulations the procedure under
which emergency purchases by heads of using departments may be made.
The Purchasing Agent and the head of the using
department shall inspect or supervise the inspection of all deliveries
of supplies or contractual services to determine their conformance
with the specifications set forth in the order or contract.
This chapter shall take effect immediately after
publication according to law.
