The Central Services Division is established for the purpose
of providing for centralized purchasing of all supplies, services
and equipment for the various agencies of the City.
(2259-2/78, 2464-12/80, 3510-10/01, 3718-8/05)
This chapter is adopted in order to provide a uniform procedure
for contracting for goods and services by the City of Huntington Beach,
to provide for fair and equitable treatment of all persons involved,
to obtain the highest possible value in exchange for public funds,
and to safeguard the quality and integrity of the purchasing and contract
process.
(3510-10/01)
The Finance Director shall direct the activities of the Central
Services Division. The Purchasing/Central Services Manager shall be
responsible to the Finance Director.
(2259-2/78, 2464-12/80, 3510-10/01, 3718-8/05, 3751-11/06)
For the purposes of this chapter, the following definitions
apply:
Bid or Proposal Documents.
The documents, including their attachments and addenda, which
set forth instructions to bidders or proposers, and are disseminated
for the purpose of soliciting bids or proposals.
City Employee.
An individual who performs services for the City in the capacity
of an elected or appointed official, or as a compensated employee
of the City or of a temporary services agency retained by the City.
"City employee" does not include independent contractors.
Contract.
Agreements, regardless of what they may be labeled, between
the City and one or more other parties for the purchase or disposition
of goods and/or services.
Contractor/Vendor/Supplier.
Any person who has entered into an agreement with the City
for the provision or disposition of goods and/or services.
Direct Service Provider.
A person, company, agency, district, or other entity that
provides a service or services to the City pursuant to a contract
or other written agreement.
Environmentally Preferred Purchasing (EPP).
The current EPP Best Practices Guide to assist in the procurement
of services, goods and materials that have the lowest life cycle cost;
and provide the basis for securing environmentally friendly and sustainable
purchasing practices.
Financial Interest.
1.
Ownership of any interest or involvement in any relationship
from which, or as a result of which, a person has received compensation
within the past year, or is entitled to, or is currently receiving
compensation;
2.
Ownership, whether wholly or in part, of any property or business;
or
3.
Status as an officer, director, trustee, partner, employee,
or manager of a business.
Goods.
Articles moveable at the time of sale, including but not
limited to equipment, supplies and materials.
Gratuity.
A gift, payment, loan, advance, deposit of money, or service,
presented or promised in return for or in anticipation of favorable
consideration in the procurement process. "Gratuity" does not include
the compensation paid by or due from the City or from a temporary
service agency under contract with the City to an employee in connection
with the employee's services for the City.
Immediate Family.
Any spouse, child, stepchild, parent or stepparent of a City
employee. The relationship of parent to child includes both natural
and adoptive relationships.
Local Business.
A business entity with one or more fixed offices and/or locally
taxable distribution points within the boundaries of the City of Huntington
Beach which holds a current and valid City business license with a
Huntington Beach business street address.
Maintenance and Repair Services.
Services intended to preserve and/or restore a public work
to a clean, safe, efficient and/or continually usable condition. Maintenance
and repair services may include, but are not limited to: carpentry,
electrical, painting, plumbing, glazing and other craftwork to preserve
a facility in the condition for which it was intended; repairs, cleaning
and other operations on machinery and other equipment permanently
attached to a facility as fixtures; the mowing, pruning, and trimming
of lawns, grass, trees, shrubs, bushes and hedges; and the regular
removal or relocation of by-products or waste products accumulated
at City facilities as the result of ongoing environmental processes.
Paper Products.
Products that include, but are not limited to, paper janitorial
supplies, cartons, wrapping, packaging, file folders, hanging files,
corrugated boxes, tissue, and toweling.
Person.
Any individual, partnership, limited partnership, association,
corporation, labor union, committee, club, or governmental, public
or quasi-public entity.
Printing and Writing Papers.
Products that include, but are not limited to, copy, xerographic,
watermark, cotton fiber, offset, forms, computer printout paper, white
wove envelopes, manila envelopes, book paper, note pads, writing tablets,
newsprint, and other uncoated writing papers, posters, index cards,
calendars, brochures, reports, magazines, and publications.
Procurement.
The acquisition of goods and/or services by the City, including
but not limited to purchasing, rental or leasing, and all functions
and procedures pertaining to such acquisitions.
Professional Services.
Services that involve the exercise of professional discretion and independent judgment based on an advanced or specialized knowledge, expertise or training gained by formal studies or experience. Such services include, but are not limited to, those provided by appraisers, architects, attorneys, engineers, instructors, insurance advisors, physicians and other specialized consultants. The procurement of professional services is governed by Chapter
3.03.
Recycled-Content Paper.
Paper products and printing and writing paper that consists
of at least 30%, by fiber weight, postconsumer fiber.
Responsible Bidder.
A bidder determined by the awarding authority:
1.
To have the ability, capacity, experience and skill to provide
the goods and/or services in accordance with bid specifications;
2.
To have the ability to provide the goods and/or services promptly,
or within the time specified, without delay;
3.
To have equipment, facilities and resources of such capacity
and location to enable the bidder to provide the goods and/or services;
4.
To be able to provide future maintenance, repair, parts and
service for the use of the goods purchased, if appropriate;
5.
To have a record of satisfactory or better performance under
prior contracts with the City and other purchasers where such bidder
has previously been awarded such contracts;
6.
To have complied with laws, regulations, guidelines and orders
governing prior or existing contracts performed by the bidder, if
applicable;
7.
To meet the City standards for environmentally preferable procurement.
Responsive Bidder.
A bidder determined by the Purchasing/Central Services Manager
to have submitted a bid or proposal which conforms in all material
respects to the requirements of the bid or proposal documents.
Services.
Work performed or labor, time and effort expended by an independent
contractor.
Specifications.
A description of the physical or functional characteristics
or of the nature of the required goods and/or services.
Surplus Personal Property.
Goods owned by the City which are no longer needed or which
are obsolete or unserviceable, property that is a by-product (scrap
metal, used tires and oil, etc.), or any unclaimed, seized or abandoned
personal property in the possession or custody of the Department of
Public Safety which may be legally disposed of by the City.
(3510-10/01, 3718-8/05, 3751-11/06, 3877-5/10, 4245-1/22)
The Finance Director may authorize in writing any agency to
purchase or contract for specified supplies, services and equipment
independently of the Purchasing Division; but he or she shall require
that such purchases or contracts be made in conformity with the procedures
established by this chapter, and shall further require periodic reports
from the agency on the purchases and contracts made under such written
authorization.
(2259-2/78, 2464-12/80, 3510-10/01, 3718-8/05, 3751-11/06)
Purchase of supplies, services, equipment and the sale of surplus
personal property shall be by procedures provided for in this chapter.
(2259-2/78)
A. The
Director or his or her designee represented of the Department requiring
goods and services, other than professional services, shall:
1. Identify
its procurement needs and the availability of funding.
2. Submit
to the Purchasing/Central Services Manager specifications for the
required goods and/or services.
3. Participate
in the evaluation of bids and proposals, as required.
4. Inspect
goods delivered and services, other than professional services, performed
to determine conformity with the requirements set forth in the bid
or proposal documents and with contractual obligations, authorize
payment for conforming goods and/or services and notify the Purchasing/Central
Services Manager of nonconforming goods and/or services.
5. In
developing plans, drawings, work statements, specifications, or other
product descriptions, the Department shall ensure, to the maximum
intent economically feasible, the purchase of environmentally preferable
products or services that comply with the City's strategic plan goal
and current EPP Best Practices Guide. This includes, but is not limited
to, products that are durable, recyclable, reusable, readily biodegradable,
energy efficient, made of recycled materials, and nontoxic. Furthermore,
the Department shall purchase products and services based on long-term
environmental and operating costs, and find ways to include environmental
and social cost in short-term prices.
B. Finance Director. The Finance Director shall be responsible
for the procurement of goods and/or services for the City in accordance
with the provisions of this chapter. No procurement of goods and/or
services shall be made by any City employee independently of the Finance
Director except in cases of emergency, unless otherwise authorized
in writing by the City Manager. The Finance Director shall:
1. Prepare
and recommend to the City Manager operational procedures and forms
for the procurement of goods and/or services in cooperation with the
department directors.
2. Procure
or supervise the procurement of all goods and/or services needed in
coordination with the department.
3. Process
the contracts awarded.
4. Whenever
possible, establish standardized specifications and consolidation
of requirements for goods and/or services required by two or more
departments.
5. Determine
the types and amounts of bid security and any performance security
acceptable for City procurements.
6. Be
the awarding authority for every procurement of goods and/or services
for:
a. Which the City has an approved budget and sufficient unencumbered
appropriated funds; and
b. Wherein the cost of which will be fully paid or reimbursed to the
City, regardless of amount.
7. Review
the results of all formal competitive bid and proposal solicitations
for which the City Council is the awarding authority.
8. Assure
compliance with the current Best Practices Guide to the extent practicable,
and document exceptions to the EPP.
(3510-10/01, 3718-8/05, 3751-11/06, 3877-5/10)
Upon approval of the City Attorney, the Finance Director may
enter into contracts to lease equipment in the following circumstances:
A. Budgeted Leases. There exists an unencumbered appropriation
in the fund account for the amount of the lease payments for the current
fiscal year.
B. The
annual budget for the fiscal year in which the lease is or was entered
into provides that:
1. The
equipment may be leased;
2. The
useful life of the equipment;
4. The
annual lease payment; and
(2259-2/78, 2464-12/80, 3322-3/96, 3510-10/01, 3718-8/05,
3751-11/06)
When deemed necessary the Purchasing/Central Services Manager
is authorized to require bidders or proposers to attend pre-bid conferences
or site inspections prior to the time and date set for receipt of
bids or proposals and to consider bidders or proposers not in attendance
as non-responsive.
(3510-10/01, 3718-8/05)
Any person, with whom the City has contracted to prepare, or
assist in the preparation of, bid or proposal documents, is ineligible
to submit a bid or proposal for the provision of the goods or the
performance of the services so specified.
(3510-10/01)
A. Cancellation of Solicitations. The Purchasing/Central Services
Manager may cancel competitive bid or proposal solicitations before
the date and time set for receipt of bids or proposals upon a written
determination that such action is in the City's best interest for
reasons including, but not limited to any of the following:
1. The
City no longer requires the goods and/or services, as determined by
the City;
2. The
City no longer can reasonably expect to fund the procurement, as determined
by the Finance Director, City Manager or City Council;
3. Proposed
amendments to the solicitation would be of such magnitude that a new
solicitation is desirable.
B. Rejection of Bids. The Purchasing/Central Services Manager
may reject, in whole or in part, bids or proposals received in response
to informal competitive bid or proposal solicitations, and may reject,
in whole or in part, bids or proposals received in response to formal
competitive bid or proposal solicitations. If all bids are rejected,
the City has the discretion to readvertise.
C. Records. The fact that a solicitation was cancelled or bid
or proposal rejected shall be made part of the procurement records.
(3510-10/01, 3718-8/05, 3751-11/06)
A. Subject
to the limitations contained in this section, the Purchasing/Central
Services Manager shall extend a bidding advantage to a local business
in the form of a five percent preference in the evaluation of bids
or proposals for the procurement of goods.
B. The
following contracts are exempt from the provisions of this section:
1. Contracts
funded in whole or in part from grants, donations or gifts to the
City if the provisions of this section conflict with any special conditions
attached to the grants, donations or gifts, provided the special conditions
have been approved and accepted pursuant to the donations policy of
the City.
C. After
a due process hearing, should the City Manager determine that a price
preference was received under this section through an intentional
misstatement, the recipient of any such price preference shall be
subject to a civil penalty of treble the dollar price preference received
or $5,000.00, whichever is greater.
(3510-10/01, 3718-8/05, 3913-6/11, 4076-12/15)
The following purchases and procurements are exempted from the
requirements of this chapter:
A. Public Works Construction Contracts. Those public works construction
contracts, and the separate procurement of materials and supplies
therefor, that are governed by other applicable laws, including but
not limited to the City Charter.
B. Emergency Purchases and Procurements. An emergency shall be
deemed to exist if:
1. There
is a great public calamity.
2. There
is immediate need to prepare for national or local defense.
3. There
is a breakdown in machinery or an essential service which requires
an immediate procurement in order to safeguard the public health,
safety or welfare.
4. An
essential, departmental operation affecting the public health, safety
or welfare would be greatly hampered if the prescribed procurement
procedure would cause an undue delay in the procurement of the needed
service.
In case of an emergency which requires the immediate procurement
of a commodity or service, the City Manager may authorize the Finance
Officer to secure by the open-market procedure, at the lowest obtainable
price, any service or commodity regardless of the amount of the expenditure.
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C. Interagency Purchase Agreements. Procurements utilizing agreements
maintained by other public agencies for the provision of services
or supplies to such agencies are exempt from the bidding and/or request
for proposal process requirements of this chapter.
1. Cooperative Procurement. Notwithstanding any other provision
of this chapter, the Purchasing/Central Services Manager may authorize
the City's participation with one or more other governmental, public
or quasi-public agencies in a cooperative agreement for the procurement
of goods and/or services, provided that at least one of the agencies
has solicited bids using methods similar to those set forth in this
chapter.
2. Use of Another Entity's Contract. The Purchasing/Central Services
Manager may authorize the procurement of goods and/or services through
the use of a contract initiated by another governmental, public or
quasi-public entity, provided that the original parties to the contract
agree, the contract was awarded. The contract is for identical or
nearly identical goods and/or services, and the contract resulted
from a competitive bid using methods similar to those required by
this chapter.
3. Mutual Aid. The Purchasing/Central Services Manager may sell
to, acquire from, or use goods belonging to another government, public
or quasi-public agency independent of the requirements of this chapter
and under the terms agreed upon between the parties, provided that
such activity does not adversely affect City services and is approved
in advance in writing by the City Manager.
D. Sole-Source Procurements. In those cases where the procurement
of any product or supply is obtainable only from a single or sole
source, based upon the good faith review of available products and
services by the Finance Director, the Finance Director, and with the
assistance of the City Attorney, shall negotiate with the purveyor
of such equipment, product, supply or service, to the end that the
City receives the desired product, equipment, service or supply on
fair and equitable terms. Examples of acceptable sole source purchases
are equipment for which there is no comparable competitive product,
a component or replacement part for which there is no commercially
available substitute and which can be obtained only from the manufacturer,
and an item where compatibility with items in use by the City is the
overriding consideration. Purchases from regulated public utilities
may be made pursuant to applicable tariff without regard to this section.
(3510-10/01, 3718-8/05, 3751-11/06)
A. The
Finance Director may for good cause appearing:
1. Decline
to accept offers, bids or quotations from prospective vendors; and/or
2. Deem
a prospective bidder/vendor as non-responsive or non-responsible.
B. A bidder/vendor
whose offer, bid or quotation has been declined or has been deemed
non-responsive or non-responsible shall have the right to appeal such
decision of the Finance Director to the City Manager within a reasonable
time after demand made in writing to the Finance Director to accept
the proffered bid, offer or quotation.
(3510-10/01, 3718-8/05, 3751-11/06)