In order to ensure that the city obtains the most suitable services and commodities at the best price, while providing internal control over expenditures of city resources, the city establishes a clear and efficient policy for acquiring supplies, services, and equipment. The purpose of this policy is to promote efficiency, ensure reliable financial accounting and assure compliance with local, state, and federal laws and regulations.
This policy applies to every city employee. Project managers have an additional responsibility to ensure that all procurements under his or her project, program, or department conform with this chapter.
(Ord. 737 (part), 2012)
"Bidder" or "vendor"
means a person, business or organization who submits a bid to the city in an effort to win a contract with the city to supply goods or services. City forces are not considered a "bidder" or "vendor" under this chapter.
"Procurement"
means the process of purchasing, acquiring, or procuring goods or services from sources outside of the city's own departments.
"Project manager"
means the city employee overseeing the project, program, or department seeking the procurement. In situations where there is not a clear project manager, the "finance director," as defined in Chapter 2.18, shall be deemed the project manager for procurement purposes.
"Solicitation"
means the notice or solicitation of bids from the city to potential vendors for the procurement of supplies, services, or equipment.
(Ord. 737 (part), 2012; Ord. 873 § 1, 2024)
The city's procurement policy for purchasing and procuring services, equipment, and commodities may be established by resolution by the city council. The city council may from time to time update the procurement policy by resolution. The city's current procurement policy, established by resolution, is incorporated by reference into the municipal code.
(Ord. 737 (part), 2012)
The city's procurement policy shall include a code of conduct ("code of conduct") that will apply to every city employee involved in procurement. This code of conduct will require every employee involved in procurement to review the procurement policy and sign a "conflict of interest statement." Employees who violate the procurement policy's code of conduct shall be subject to penalties, sanctions or other disciplinary measures as permitted by state and federal law and the city's employment policies.
(Ord. 737 (part), 2012)
For all city procurements, the project manager will follow the guidelines set forth in the city's adopted procurement policy. For procurements, except public projects under Section 3.08.060, the procedure will include:
A. 
Cost Estimate. At the onset of any procurement, the project manager will prepare a cost estimate of the goods or services sought, in accordance with the city's procurement policy.
B. 
Selecting Method of Procurement. Based on the cost estimate, the city manager will select the appropriate method of procurement as follows:
1. 
Five thousand dollars and under: course of normal business procurement. No bid process required.
2. 
Over five thousand dollars to twenty-five thousand dollars: informal quotes.
3. 
Over twenty-five thousand dollars to one hundred thousand dollars: informal bid process.
4. 
Over one hundred thousand dollars: formal bid process.
C. 
Course of Normal Business Procurement. For procurements five thousand dollars and under, the project manager may purchase the good or service with permission from the department head. The project manager will submit for every purchase an invoice that will be kept on file.
D. 
Informal Quotes. The project manager will submit a request for purchase order form and obtain approval from the department head for every informal quote procurement. The project manager will obtain at least three verbal quotes from vendors and select the lowest acceptable quote.
E. 
Informal Bid Process. The project manager shall prepare a solicitation, in accordance to the solicitation guidelines in the procurement policy, inviting informal bids that shall be sent to all participants on the city's contractor's lists or vendor's lists for the good or service to be acquired, and to all applicable construction trade journals. If the service can only be obtained from certain contractors or vendors, the solicitation may be sent exclusively to those entities.
The project manager will log each bid received. At the end of the period for accepting bids, the project manager shall provide the city manager or the city manager's designee with a record of all bids received, the original cost estimate, and the project manager's analysis of the responsiveness of each bid. The city manager or the city manager's designee will select the lowest responsive bid or provide a written explanation for not choosing the lowest bid. If two or more bids are the same and the lowest, any of the lowest bids may be selected. The project manager is responsible for ensuring that all contracts entered into by the city comply with state and federal law.
F. 
Formal Bid Process.
1. 
The project manager will prepare a solicitation inviting sealed bids. The project manager will send the solicitation to the city clerk for publication and to all applicable vendors. If the procurement is for a public works project, the project manager will publish the solicitation in a local newspaper as required by state law.
2. 
The project manager will log and keep on file every bid received in response to a solicitation.
3. 
The project manager will evaluate each bid to ensure that it is responsive to the solicitation and that the bidder is responsible, in accordance with the guidelines set forth in the city's procurement policy.
4. 
The project manager will examine all bids received and perform a bid cost analysis in accordance with the procurement policy.
5. 
At the end of the solicitation period, all responsive bids from responsible bidders shall be read aloud at a regular city council meeting.
6. 
After reviewing the bids and the project manager's cost analysis, the city council will select a bidder to receive the contract.
G. 
Professional Services. There is no bidding requirement for procurement of professional services as defined under Government Code Section 4525, as may be changed from time to time. A professional service agreement must be submitted to the city council for approval if the cost estimate is over one hundred thousand dollars and must provide sufficient background analysis to support the recommendation. After a professional is selected, the city will follow the guidelines in the Public Contract Code Section 6106, as may be changed from time to time, to negotiate the services.
1. 
The professional must be selected on the basis of demonstrated competence and qualifications for the types of services to be performed and at fair and reasonable prices to the city.
2. 
The selection process must assure maximum participation of small business firms, as defined by the director of general services pursuant to Section 14837 of the Government Code.
3. 
Practices which might result in unlawful activity including, but not limited to, rebates, kickbacks, or other unlawful consideration are prohibited in the selection process. City employees are prohibited from participating in the selection process when those employees have a relationship with a person or business entity seeking a contract under this section which would subject those employees to the prohibition of Section 87100 of the Government Code.
H. 
Exceptions.
1. 
Blanket Order Exception. If a project receives a blanket or open purchase order for spending on certain goods or services, the project manager may procure those goods and services without being bound by the methods of procurement provided in this chapter. The project manager must still obtain approval from the department head, submit invoices, and comply with the conflict of interest requirements of this section.
2. 
Formal Bidding Exceptions. Unless federal or state law so requires, the following shall not require the formal bidding process described in this chapter:
a. 
The merchandise or service is unique because of its quality, durability, availability, or fitness for a particular use.
b. 
The merchandise or service is available from only one source.
c. 
The city manager or their designee determines that critical circumstances require the immediate purchase of the merchandise or service.
d. 
The merchandise or service is provided by an independent contractor who has a preexisting contract with the city to provide labor and materials for other than a public works project.
e. 
The procurement will be provided through a cooperative purchasing program or a cooperative purchasing agreement of another public agency that was awarded following a competitive bidding process.
Even if formal bidding is not required, the city council must formally authorize every procurement for more than one hundred thousand dollars.
I. 
Solicitation Contents. Solicitations will include bid forms with specifications about the procurement and a request for proposal. All solicitations will be formatted in accordance with the city's procurement policy and shall contain the information required therein.
(Ord. 737 (part), 2012; Ord. 873 § 1, 2024)
Expenditures for public projects shall be contracted in accordance with the Uniform Public Construction Cost Accounting Act, Public Contract Code Section 22000 et seq., as may be changed from time to time.
For the purpose of this section, the following definitions apply:
"Maintenance work"
means routine, recurring, and usual work for the preservation or protection of any publicly owned or publicly operated facility for its intended purposes; minor repainting; resurfacing of streets and highways at less than one inch; landscape maintenance, including mowing, watering, trimming, pruning, planting, replacement of plants, and servicing of irrigation and sprinkler systems; and work performed to keep, operate, and maintain publicly owned water, power, or waste disposal systems, including, but not limited to, dams, reservoirs, powerplants, and electrical transmission lines of two hundred thirty thousand volts and higher.
"Public project"
means construction, reconstruction, erection, alteration, renovation, improvement, demolition, and repair work involving any publicly owned, leased, or operated facility; painting or repainting of any publicly owned, leased, or operated facility. In the case of a publicly owned utility system, "public project" shall include only the construction, erection, improvement, or repair of dams, reservoirs, powerplants, and electrical transmission lines of two hundred thirty thousand volts and higher. "Public project" does not include maintenance work.
Public projects, in accordance with the limits listed in Section 22032 of the Public Contract Code, shall be contracted by informal procedures as set forth in Section 22032 et seq. of the Public Contract Code.
A. 
Contractors List. The city shall comply with the requirements of Public Contract Code Section 22034.
B. 
Notice Inviting Informal Bids. Where a public project is to be performed which is subject to the provisions of this section, a notice inviting informal bids shall be circulated using one or both of the following alternatives:
1. 
Notices inviting informal bids may be mailed, faxed, or emailed to all contractors for the category of work to be bid, as shown on the contractors list.
2. 
Notices inviting informal bids may be mailed to all construction trade journals as specified by the California Uniform Construction Cost Accounting Commission in accordance with Section 22036 of the Public Contract Code. Additional contractors and/or construction trade journals may be notified at the discretion of the department/agency soliciting bids; provided, however:
a. 
If the product or service is proprietary in nature such that it can be obtained only from a certain contractor or contractors, the notice inviting informal bids may be sent exclusively to such contractor or contractors.
C. 
The city manager is authorized to award informal contracts pursuant to this section. If no bids are received through the formal or informal procedure, the project may be performed by city employees by force account or negotiated contract without further complying with the bid process. In its discretion, the city may reject any bids presented, if the city, prior to rejecting all bids and declaring that the project can be more economically performed by city employees, furnishes a written notice to an apparent low bidder. If after the first invitation of bids all bids are rejected, after reevaluating its cost estimates of the project, the city may:
1. 
Abandon the project or readvertise for bids; or
2. 
By passage of a resolution by a four-fifths vote of the city council declaring that the project can be performed more economically by city employees, may have the project done by force account without further complying with the bid process.
(Ord. 737 (part), 2012; Ord. 873 § 1, 2024)
Any purchase that is related to a project that has received funding from the state sources shall be deemed as a state funded purchase and shall receive the additional scrutiny or policy measures necessary to comply with all relevant state laws or regulations.
(Ord. 737 (part), 2012)
Any purchase that is related to a project that has received funding from the federal sources shall be deemed as a federally funded purchase and shall receive the additional scrutiny or policy measures necessary to comply with the Federal Acquisition Regulation, American Recovery Reinvestment Act ("ARRA"), regulations and procedures of relevant agencies, and other federal law. When necessary to ensure compliance, the project manager will include the needed provisions in its contracts with vendors.
(Ord. 737 (part), 2012)
For state and federally funded projects, the city shall require every bidder to submit a debarment and suspension certification form pursuant to Title 49, Code of Federal Regulations, Part 29. The project manager shall search for each bidder on the excluded parties list system ("EPLS") in the "listing of parties excluded from federal procurement and nonprocurement programs" available at http://epls.arnet.gov to make sure that the bidder is not suspended or debarred from receiving federal funds. Any bidders who appear on the list as suspended or debarred shall not be eligible to receive the contract. The project manager will retain a dated copy of each search for every bidder who submits a bid. Additionally, once a bid is selected, the project manager shall file a copy of the dated search on the EPLS website for the successful bidder in the project file.
(Ord. 737 (part), 2012)
When the procurement is related to a federal or state funded transportation project, in addition to complying with the city's procurement policy, the project manager will adhere to the procedures set forth in the Local Assistance Procedures Manual (the "Manual") prepared by the California Department of Transportation.
(Ord. 737 (part), 2012)