This chapter is adopted for the purpose of authorizing city officers to procure services, supplies, and equipment and establishing the manner by which such actions may occur. Nothing in this chapter is intended to, nor does it, apply to public works projects as defined by state law.
(Prior code § 2800; Ord. 1463 § 1, 1978; Ord. 2199 § 1, 2020)
Unless the contrary is stated or clearly appears from the context, the following definitions will govern the construction of the words and phrases used in this chapter:
"Contract"
may include a purchase order or professional services agreement as the context may dictate.
"General services"
means services that are manual or routine in nature as opposed to services that are predominately intellectual and varied in character or require specialized knowledge of an advanced type generally acquired from study at an institution of higher learning.
"Professional services"
means those services provided to the city by independent consultants that are predominantly intellectual and varied in character – as opposed to manual or routine in nature – which require specialized knowledge of an advanced type generally acquired from study at an institution of higher learning, and entail the exercise of a wide degree of discretion and judgment when performing the services (e.g., lawyers, engineers, architects, certified public accountants and land-use planners).
"Purchase"
includes renting, leasing, purchasing, licensing, or a trade of supplies.
"Supplies"
includes general services; equipment; materials; goods, parts; miscellaneous commodities; and other office supplies. "Supplies" does not include professional services.
(Ord. 2199 § 1, 2020)
The city manager is designated as the city's purchasing agent. The city manager may delegate purchasing agent responsibilities to another appointed agent in writing. Supplies for city departments must be purchased in accordance with this code, any administrative regulations promulgated pursuant to this chapter, and such additional regulations that the city council may adopt by written resolution. The duties of the purchasing agent may be combined with those of any other office or position and include, without limitation, the following:
(1) 
Purchasing or contracting for supplies required by any department.
(2) 
Promulgating administrative policies and procedures to implement the purposes of this chapter as approved by the city manager in writing.
(3) 
Facilitating the inspection of all supplies purchased under this chapter to determine their quality and ensure conformance with city specifications.
(4) 
Recommending the transfer of surplus or unused supplies and equipment between departments as needed.
(5) 
Selling or disposing of supplies cannot be used by any department or which have become unsuitable for city use.
(6) 
Performing such other tasks as may be necessary for the proper conduct of purchasing of supplies.
(Prior code § 2801; Ord. 1463 § 1, 1978; Ord. 2199 § 1, 2020)
Except as otherwise provided in this code all purchases and contracts for supplies must be accomplished either by or through the purchasing agent.
(Prior code § 2802; Ord. 1463 § 1, 1978; Ord. 2199 § 1, 2020)
Bidding is not required for the following:
(1) 
Emergency Purchasing. During a declared state of local emergency, bidding is not required. The city manager must provide a report to the city council in accordance with applicable law regarding such emergency purchases.
(2) 
Convenience. When the supply can be obtained from only one vendor or there are circumstances demonstrating only one vendor is best qualified to provide the supplies.
(3) 
Best Value. The city manager may select the lowest responsible bidder based on objective criteria for evaluating the qualifications of bidders with the resulting selection representing the best combination of price and qualifications along with the nature of the goods, supplies, or equipment.
(4) 
Cooperative Purchasing. Where the purchasing agent identifies a cooperative competitive bidding procedure, being prepared by and processed through another local, state, or federal governmental agency, the purchasing agent may join into an existing written purchase contract through a competitive bidding process prepared by and awarded by another local, state or federal governmental agency.
(5) 
Supplies less than three thousand dollars. Purchases made for supplies with an estimated value of less than three thousand dollars may be purchased on the open market without bidding requirements.
(Prior code § 2804; Ord. 1463 § 1, 1978; Ord. 2133 § 1, 2016; Ord. 2199 § 1, 2020)
Purchases made for supplies with an estimated value of between three thousand dollars and sixty thousand dollars require the following:
(1) 
Purchases must, whenever possible, be based upon at least three bids and be awarded to the lowest responsible bidder.
(2) 
Bids may be obtained either verbally or in writing.
(3) 
Department directors, or designee, may solicit proposals for such supplies.
(4) 
The city manager may require that supplies purchased pursuant to this section be formally bid and awarded. Before requiring such bidding, the city manager must promulgate administrative policies and procedures, in a form approved by the city attorney, establishing such formal bidding procedures.
(Prior code § 2803; Ord. 1463 § 1, 1978; Ord. 1938 § 1, 1998; Ord. 2199 § 1, 2020)
Purchases made for supplies with an estimated value of sixty thousand dollars or more require the following:
(1) 
Notice Inviting Bids. Notices inviting informal bids must be posted at City Hall distributed (either electronically or otherwise) at least ten days before the deadline for submitting bids to all vendors on the city's list for the supplies being sought and to such other vendors as the purchasing agent deems appropriate. The notice soliciting bids must describe the supplies needed in general and generic terms, identify security required for the bid, how bid specifications can be obtained, and designate the deadline and place for submitting informal bids. The purchasing agent is responsible for soliciting sealed bids from all responsible prospective vendors whose names are on the bidders' list maintained by the requesting department.
(2) 
Bidder's Security. The purchasing agent may require bidders to secure bids and performance in a manner approved by the purchasing agent and in a form approved by the city attorney. Unsuccessful bidders are entitled to the return of bid security within sixty days after the date of the award. When deemed necessary by the purchasing agent, bidders' security may be prescribed in the notices inviting bids. Bidders are entitled to return of bid security; provided, that a successful bidder forfeits his or her bid security upon refusal or failure to execute the contract within ten days after the notice of award of contract has been mailed, unless the city is responsible for the delay. If a successful bidder refuses to comply with, or fails to execute, a contract issued by the city within ten days after being awarded the contract, the city may cancel the award and retain any bid security. Compliance with contract requirements includes, without limitation, submission of insurance documentation. Should this occur, the city council may award the contract to the next lowest responsible bidder.
(3) 
Performance Bonds. The city council or purchasing agent may require a performance bond in an amount reasonably necessary to protect the best interests of the city. If the city council or purchasing agent requires a performance bond, the form and amount of the bond will be described in the notice inviting bids.
(4) 
Bid Opening Procedure. Sealed bids must be submitted to the purchasing agent in an envelope clearly marked as a bid along with the bidder's name and project number written on the outside. The purchasing agent will open properly submitted bids at the time and place stated in the notice inviting bids. A written record and tabulation must be made at the time all bids are received and then opened. Bids received after the time specified in the notice inviting bids will not be accepted.
(5) 
Council Approval. All bids received as part of the formal bidding process must be submitted to the city council by the purchasing agent. The city council may reject all bids or award the purchase contract to the best qualified bidder whose bid or proposal fulfills the purpose intended according to criteria designated in the solicitation, provided that the contract award amount is within the unencumbered appropriation for that item. The city council may waive any minor bid irregularities. If the city does not receive any bids, the city council may:
(A) 
Abandon the purchase;
(B) 
Authorize rebidding the purchase on an informal basis; or
(C) 
Authorize purchasing the supplies on a direct negotiated contract.
(6) 
Tie Bids. If two or more bids received are for the same total amount or unit price, quality and service being equal, the city council may accept one of them or accept the lowest bid made by negotiation with the tie bidders at the time of or after the bid opening.
(Ord. 2199 § 1, 2020)
(a) 
For the purposes of this chapter, in addition to price, "lowest responsible bidder" will be determined based on consideration of the following factors:
(1) 
The ability, capacity and skill of the bidder to perform the contract or provide the supplies;
(2) 
Whether the bidder has the facilities to perform the contract or provide the supplies promptly, or within the time specified, without delay or interference;
(3) 
The character, integrity, reputation, judgment, experience and efficiency of the bidder;
(4) 
The bidder's record or performance of previous contracts or services;
(5) 
The previous and existing compliance by the bidder with laws and ordinances relating to the contract;
(6) 
The sufficiency of the financial resources and ability of the bidder to perform the contract; and
(7) 
The quality, availability and adaptability of the supplies to the particular use required.
(b) 
In addition to the foregoing, for the purpose of calculating the lowest responsible bidder, preference will be awarded to local vendors, when the following criteria are met:
(1) 
The vendor is a person or legal entity with a place of business within the city and a valid current business license issued by the city; and
(2) 
The difference between bids from the local vendor and those outside the city is less than the current sales tax benefit the city would receive.
(Prior code § 2805; Ord. 1463 § 1, 1978; Ord. 1938 § 1, 1998; Ord. 2199 § 1, 2020)
The city manager may contract for professional services in an amount not to exceed sixty thousand dollars. Professional services costing more than sixty thousand dollars must be purchased by the city council. The manner by which all professional services are selected and contracted may be governed by administrative policy and procedures promulgated by the city manager and approved as to form by the city attorney.
(Prior code § 2806; Ord. 1463 § 1, 1978; Ord. 1938 § 1, 1998; Ord. 2199 § 1, 2020)
It is a violation of this chapter to knowingly take action to separate purchases into smaller units or segments solely for the purpose of evading the competitive formal or informal bidding requirements set forth in this chapter.
(Ord. 2199 § 1, 2020)