[HISTORY: Adopted by the City Council of the City of Walhalla 10-15-2019 by Ord. No. 2019-15. Amendments noted where applicable.]
A. 
The Clerk/Treasurer, or any officer of the City designated by the Council, shall be the Purchasing Agent for the City. The Purchasing Agent will be responsible for the purchase of supplies, materials, equipment and contractual services required by any office, department or agency of the City, except as outlined in § 75-2 of this chapter. The Purchasing Agent will review negotiations affecting price, terms and delivery, and quality, but actual selection of material or service will be delegated to the department involved unless the Purchasing Agent's help is requested, or until a budget adjustment authorization has been approved.
B. 
The Purchasing Agent, with approval of the Mayor and City Council, will provide for:
(1) 
Storage and distribution of supplies and materials common to more than one department; i.e., gasoline.
(2) 
Written specifications when possible for supplies, materials and equipment. Such specifications should be clear and factual and permit competition.
(3) 
Maintaining, whenever practicable, a perpetual inventory record of all materials, supplies or equipment stored in storerooms or warehouses.
(4) 
Soliciting and maintaining an up-to-date list of qualified suppliers who have requested their names be added to a "bidders list." The Purchasing Agent shall have authority to remove temporarily the names of vendors who defaulted on their quotations, attempted to defraud the City or who failed to meet established specifications or delivery dates or who are delinquent in the payment of taxes, license fees or other monies due the City.
(5) 
Obtaining as full and open competition as possible on all purchases, contracts and sales.
A. 
For total purchases $1,000 or less and when items are budgeted, a department head may purchase the goods or services. For purchases in excess of $1,000 and up to $5,000 and when items are budgeted, the department head shall prepare a requisition that includes two written quotes. For purchases in excess of $5,000 but less than $25,000, and when items are budgeted, the department head shall prepare a requisition that includes three written quotes.
[Amended at time of adoption of Code (see Ch. 1, General Provisions, Art. II)]
B. 
If a department wishes to purchase budgeted items totaling $25,000 or more, the department head shall publicly advertise for bid at least once in a newspaper of general circulation in the county not less than 10 days prior to the date set for receipt of bids. Formal sealed bids involving construction projects may be accompanied by a deposit equal to or not less than 5% of the proposal, or a legitimate bid bond and proof of insurance. The City Administrator or Clerk/Treasurer in absence of the Administrator may award the bid, provided it comes within budget. Bids that come in over budget must be approved by Council.
[Amended at time of adoption of Code (see Ch. 1, General Provisions, Art. II)]
C. 
The informal and formal bid procedure may be waived under the following conditions upon approval by the Mayor and City Council:
(1) 
Where there exists no possibility of a competitive bid, as in the case of one known source of supply.
(2) 
When it is to the advantage of the City of Walhalla to acquire goods and/or services on the basis of a previously awarded bid or contract.
(3) 
In the case of emergency purchases as defined elsewhere in purchasing rules or regulations.
D. 
The Purchasing Department will have the authority to purchase, consistent with informal and formal bid procedures, as many commodities as possible through open-end contracts.
(1) 
This procedure will be accomplished through responsible jobbers, wholesalers, distributors or manufactures at a cost to be the:
(a) 
Wholesale price or under.
(b) 
Cost plus basis agreed to by both parties.
(c) 
Manufacturer's published cost to government agencies. In any such contract, the City will reserve the right to spot audit the contractor to ensure that the terms of the contract are being met.
(2) 
Open-end contracts and recurring expenses, i.e., utility bills, telephone bills, insurance payments, bank notes, interest payments, payrolls, withholdings, service and lease contracts, and payments to other agencies shall be paid automatically.
E. 
When it is advantageous to procure materials, supplies and/or equipment through the purchasing contracts of the Purchasing Division of the State of South Carolina, said contracts may be considered as having satisfied the bidding procedure outlined above.
F. 
The purchasing agent will have the authority to negotiate jointly with agents of other government jurisdictions for the purpose of securing prices, bids, contracts etc. most advantageous to the City, including General Service Administration or other cooperative purchasing organization's prices.
G. 
Award of contract.
(1) 
Authority in Agent. The Purchasing Agent shall have the authority to award contracts with the purview of this chapter.
(2) 
Lowest responsible bidder. Contracts shall be awarded to the lowest responsible bidder. In determining "lowest responsible bidder," in addition to price the Purchasing Agent 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 of previous contracts or services.
(e) 
The previous and existing compliance by the bidder with laws and ordinances relating to the contract or services.
(f) 
The sufficiency of the financial resources and ability of the bidder to perform the contract or provide the services.
(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 the subject of the contract.
(i) 
The number and scope of conditions attached to the bid.
(3) 
Award to other than low bidder. 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 and filed with the papers relating to the transaction and held for a period of no less than 12 months.
(4) 
Tie bids; local vendors. If all bids received are for the same total amount or unit price, quality and service being equal, the contract shall be awarded to the local bidder. If two or more such bids are submitted by local bidders, the Purchasing Agent shall award the contract to one of the local bidders by drawing lots in public. If local bidders are not involved in the tie bids, the purchasing agent shall award the contract to one of the outside tie bidders by drawing lots in public.
(5) 
Performance bonds. The Purchasing Agent shall have the authority to require a performance bond, before entering into a contract, in such form and amount as the Purchasing Agent shall find reasonably necessary to protect the best interests of the City.
H. 
Budget adjustment and authorization. A department that wishes to change funds from one line item to another must receive approval from the City Administrator. When the Administrator wishes to change funds from one line to another between departments, the Administrator must receive approval from Council.
No member of City Council or any officer or employee of the City shall have a financial interest in any contract or in the sale of the City or to a contractor supplying the City of any land rights or interest in any land, material, supplies or services; except when a majority of the City Council determines such exception in the best interest of the City; provided that no Councilmember whose interest is involved shall vote on the question. Any willful violation of this section shall constitute a malfeasance in office, and any officer or employee of the City found guilty thereof shall thereby forfeit his office or position. Any violation of this section with the knowledge, express or implied, of the person or corporation contracting with the City shall render the contract voidable by the Mayor and Council.
The Purchasing Agent shall keep a record of all open market orders and the bids submitted in competition thereon; such records shall also be open to public inspection.
All officers, departments or agencies of the City government shall submit to the Purchasing Agent, at such times and in such forms as he shall prescribe, reports showing stocks of all supplies which are no longer used or which have become obsolete, worn out or scrapped.
The Purchasing Agent shall have the authority to transfer surplus stock to other offices, departments or agencies of the City government. The affected departments will be credited and charged the fair market value of such stocks transferred.
The Purchasing Agent shall have the authority to sell as supplies which have become unsuitable for public use, or to exchange the same for, or trade-in the same on, new supplies, Such sale shall be made to the highest bidder, and advertised in conformance with § 75-2B, Formal bid procedure. All monies received from such sale shall be paid in the general fund of the City. This is in accordance with S.C. Code Ann. § 5-7-40, Ownership and disposition of property by municipalities:
All municipalities of this State may own and possess property within and without their corporate limits, real, personal or mixed, without limitation, and may, by resolution of the council adopted at a public meeting and upon such terms and conditions as such council may deem advisable, sell, alien, convey, lease or otherwise dispose of personal property and in the case of a sale, alienation, conveyance, lease or other disposition of real or mixed property, such council action must be effected by ordinance.
The purchasing agent and every officer and employee of the City are expressly prohibited from accepting, directing 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 City.
Notwithstanding any other provisions of this chapter, the Purchasing Agent may make or authorize others to make emergency procurements when there exists a threat to public health, welfare or safety under emergency conditions, provided that such emergency procurements shall be made with such competition as is practicable under the circumstances. If possible, the advice and consent of the department head and the chairman of the concerned committee and/or the Mayor will be obtained, and if necessary, the department head, any member of City Council or the Mayor may authorize the needed action. All emergency procurements made will be reported to Council by the Purchasing Agent at the next regular Council meeting.