[Amended 3-17-2015 by Ord. No. 6-2015]
The following shall be known as the "Purchasing Ordinance of 2015."
A. 
The purchasing function involves the procurement of materials, supplies, equipment, and services at the lowest possible cost. These costs are consistent with the quality needed to meet the required standards.
B. 
The Purchasing Department is responsible for administering purchasing policies, as approved by the City Commissioners; approving term contracts less than bid requirement, analyzing prices paid for materials, equipment, supplies and services and generally defining how to generate cost savings and coordinate purchasing procedures for the City of Millville.
C. 
The Purchasing Agent or Chief Financial Officer are the only persons authorized by the City Commissioners to make purchases for the City of Millville. No department has the authority to obligate the City to buy from a particular vendor even if the purchase is being made for a state contract item/service or from an apparent sole source vendor.
A. 
The requisition to purchase serves to inform the Purchasing Department of the needs of the user department and to correctly define the material requested. In addition, the first approval signifies the authority to charge a specific budget account and that there are sufficient funds available in the account specified.
B. 
No employee or official of the City shall incur any liability on the part of the City unless same shall have been properly authorized by a purchase order. In addition, the following requirements shall also be complied with:
(1) 
It is the responsibility of each department to write clear and accurate description of materials and equipment to be purchased and purpose for which they are intended.
(2) 
If the purchase is of a technical nature, specifications should accompany the requisition. Requisitions must not give specifications that will favor one supplier to the exclusion of all others.
(3) 
Under no circumstances is the Purchasing Department to be obligated to a vendor for anything except the opportunity to offer for sate any goods and/or services the City may wish to purchase.
(4) 
For purchases in excess of $36,000, please contact the Purchasing Agent to prepare specifications to obtain sealed bids.
(5) 
For all purchases in excess of $1,000 but less than $36,000, the department will submit two detailed quotes. At the discretion of the Purchasing Department, a third quote may be obtained. Should the third quote be less than the two quotes submitted, it will be forwarded to the user department for review and comment. The Purchasing Agent or Chief Financial Officer will make the final decision based on the Local Public Contracts Law[1] and in the best interest of the City of Millville.
[1]
Editor's Note: See N.J.S.A. 40A:11-1 et seq.
(6) 
For purchases less than $1,000, it will be at the discretion of the Purchasing Agent or Chief Financial Officer whether to obtain additional quotes.
(7) 
Any requisition without a detailed description will be returned to the user department for further details.
(8) 
After the requisition has had third approval, a purchase order will be issued and the material or service can be ordered at that time, except in case of an emergency.
(9) 
Each Commissioner shall designate in writing and file with the Chief Financial Officer's office and with the Purchasing Agent the name of the person or persons in the respective departments who shall be authorized to give first approval for requisitions and sign purchase orders.
Emergency purchases are to be initiated only when property, equipment or life is endangered through unexpected circumstances as stated in N.J.S.A. 40A:11-6. If an emergency should arise during a time when the Purchasing Department is closed, the department head shall act to secure the necessary materials or services. All invoices and a detailed explanation of the emergency shall be forwarded to the Purchasing Department on the next business day.
A. 
A change order is a property prepared document authorized by the governing body which directs and authorizes a contractor, consultant or other vendor performing work for or supplying materials and supplies to a local unit pursuant to a contract to change the quantity or character of work, service or materials to be performed, rendered or furnished from that originally specified or estimated and to correspondingly change the payment due therefor. (N.J.A.C. 5:30-11.2).
B. 
Responsibility required by these rules to be exercised specifically by the governing body, including authorization of change orders, shall not be delegated except for minor field (site) modifications pursuant to N.J.A.C. 5:30-11.4.
C. 
Minor field modifications that net less than 5% of the original contract price and that do not affect the overall scope of work of the contract may be authorized by the Municipal Engineer after obtaining a certification of funds from the Chief Financial Officer. Prior to issuing the change order, the Engineer shall issue a certification to his Commissioner, the CFO, and the Administrator in which he shall advise of the need and cost of the change order and in which he shall certify that the change order is in compliance with N.J.A.C. 5:30-11.3(a)4 and 5 and 5:30-11.4.
D. 
At the next Commission meeting, a resolution for this change order shall be prepared for the governing body's approval.
Procurement cards may only be used when vendors require payment in advance for the delivery of certain goods or services that cannot be obtained from other sources at comparable price. The circumstances which qualify the use of a procurement card are as follows:
A. 
An individual transaction shall not exceed 15% of the bid threshold.
B. 
Comparable pricing is not otherwise obtainable for goods and services to be available at the time and place required.
C. 
The cost of purchases is comparable to costs available from other vendors who can provide the required goods and services in a timely manner.
D. 
Items are purchased in a transaction where vendor certification would not normally be readily available at the time of purchase.
E. 
The vendor requires immediate payment and the Purchasing Agent or City Administrator has approved such use for a purchase from a particular vendor for a particular item.
F. 
Purchase is from a "big box" or other store that does not accept vouchers, purchase orders or checks.
A. 
Purchasing cards or electronic transactions will not change or eliminate any provision of the Local Public Contracts Law[1] and will be administered in accordance with the rules enumerated in N.J.S.A. 40A:5-16(c) notwithstanding the provisions of N.J.S.A. 40A:5-16(a) or N.J.A.C. 5:30-9A.1 et seq.
[1]
Editor's Note: See N.J.S.A. 40A:11-1 et seq.
B. 
Purchasing cards will only be distributed to essential administrative personnel, department heads or supervisors and/or assistant supervisors on a per needed basis, which shall be determined by the City Administrator in consultation with the Purchasing Agent and/or Chief Financial Officer.
C. 
All authorized procurement card users will be required to complete training on the policies and procedures governing the use of the procurement card and shall complete and sign a contract of understanding that includes the financial and legal responsibility for misuse.
D. 
Procurement cards shall be issued in the name of a specific individual but under no circumstance shall be used to purchase personal property or services, including travel and dining expense.
E. 
Limits on cards will be established by amount, time and category of usage permissible. An authorized procurement card user is prohibited from using p-card to conduct personal business or for any circumstances that are not authorized in N.J.S.A. 40A:5-16(c) or N.J.A.C. 5:30-9A.1.
F. 
Procurement card. It will be incumbent on the Purchasing Agent to reconcile all p-card transactions with receipts and invoices to document a transaction. It will be incumbent for the CFO to reconcile card activity along with payments made to the issuing financial institution.
(1) 
Violations of policies governing the use of procurement cards shall result in appropriate remedial or disciplinary action without regard to the position held by the card user. Any violation of the policies governing use of the procurement card will result in immediate forfeiture of the ability to use such card and may result in other disciplinary action including but not limited to suspension, termination and criminal prosecution. The City will also retain all rights to any funds misappropriated and will seek restitution of said funds through garnishment of wages, forfeiture of benefits and legal actions in a court of law.
(2) 
Under no circumstance shall any p-card or electronic transaction be used for personal use!