The City purchasing manual allows for exemption from the competitive
procurement process when a written determination has been made by
a Department Director or Division Manager, and approved by the Purchasing
Manager, City Manager or City Council, that there is only one source
practicably or reasonably available to supply a good or service.
When in the opinion of the Purchasing Manager the best interests of the City shall be served, the Purchasing Manager may authorize the use of sole source procurement procedures, provided the expenditure does not exceed $25,000. Initial sole source requests up to $25,000 must also be approved by the Department Director. Initial sole source requests from $25,000 to $50,000 must be approved by the City Manager. Initial requests for sole source expenditures of $50,000 or more shall be approved by City Council. See GJMC §
41.08.080, Purchasing approval limits table.
Approved sole source requests may remain in effect for the useful
life of the product/project given that the criteria set forth in this
section are still applicable. Purchases of items related to prior
approved sole source requests may be procured without repetitive approval
authority given that budgeted funds are available.
(Res. 04-12 (§ 14.1), 1-16-12)
The following are the criteria used for determining sole source:
(a) The vendor is the original equipment supplier/manufacturer with similar
parts or equipment available from another manufacturer;
(b) The compatibility or conformity with City-owned equipment or materials
in which nonconformance would require the expenditure of additional
funds;
(c) No other equipment is available that shall meet the specialized needs
of the department or perform the intended function;
(d) Detailed justification is available which reasonably establishes
that the vendor is the only source practicably available to provide
the item or service required;
(e) Written demonstration and justification is available which reasonably
and practicably establishes that the selection of a sole source vendor
is in the best interest of the City; or
(f) The product, equipment or service is functionally superior to all
other competitive products.
(Res. 04-12 (§ 14.2), 1-16-12)
(a) The department shall complete a sole source justification form and
attach documentation and justification that establishes that the proposed
vendor is the only source reasonably or practicably available to provide
the item or service required. The department is responsible for conducting
negotiations, as appropriate, as to price, delivery and terms. In
an effort to ensure that sole source justification forms are valid,
after a period of three years, the purchasing staff may request that
the using department update the information or justify that the sole
source conditions continue to be valid. The sole source justification
form can be found on the intranet under Forms – Purchasing.
(b) Authorization Thresholds.
For sole source purchases follow the approval limits designated in Chapter
41.08 GJMC. If a sole source is required to be approved by the City Council, the presentation to Council for final approval or disapproval must be made by the requesting department. The Purchasing Manager shall review the recommendation for compliance with the City’s policies prior to the agenda being forwarded to the City Clerk to be placed on City Council’s agenda. Presentation shall be made by the requesting department.
(Res. 04-12 (§ 14.3), 1-16-12)