Ord 55ORDINANCE NO. 55
AN ORDINANCE OF THE CITY OF POWAY, CALIFORNIA
PROVIDING FOR THE PURCHASE OF SUPPLIES, SERVICES AND EQUIPMENT
AND RESCINDING ORDINANCE NO. 64-79 OF
POWAY MUNICIPAL WATER DISTRICT
AND RESOLUTION NO. 55 OF
POMERADO COUNTY WATER DISTRICT
THE CITY COUNCIL OF THE CITY OF POWAY DOES HEREBY ORDAIN AS FOLLOWS:
Section 1: ADOPTION OF PURCHASING SYSTEM
In order to establish efficient procedures for the purchase of supplies, equip-
ment, materials and services; to secure the same for the City at the lowest
possible cost commensurate with the quality needed; to exercise positive finan-
cial control over purchases; a purchasing system is hereby adopted.
Section 2: ESTABLISHMENT OF CENTRALIZED PURCHASING DIVISION
There is created a centralized purchasing division under the City Manager or his
designee in which is vested the authority for the purchase of supplies, equip-
ment and services.
Section 3: EXCEPTIONS TO CENTRALIZED PURCHASING
The Purchasing Manager may, when authorized by the City Manager in writing,
authorize a department or division to purchase supplies and equipment when such
purchases may be made more advantageously or expeditiously by the respective
department or division.
Section 4: PURCHASE ORDER - ENCUMBRANCE OF FUNDS
Except in cases of emergency, or if excepted by the City Manager, all purchases
shall be made by purchase order issued by the Purchasing Division after Finance
Department approval. Emergency is defined as situations that vitally affect the
preservation of life, health, safety, property or interruptions of service to
the public. Further, emergency procedure shall conform to Government Code
37906.
Section 5: UNAUTHORIZED PURCHASES
No City Department Head, Division Head or other employee shall make or order
the purchase of any supplies, equipment, materials or services or make any
contract without the prior approval, in writing, of the Purchasing Manager.
ORDINANCE NO. 55
Page 2
Section 6: FORMAL BIDDING PROCEDURE - PUBLIC WORKS PROJECTS
Contracts for public projects shall be administered in the manner provided by
Section 37901 et. seq. of the California Government Code as may be amended from
time to time.
Section 7: FORMAL BIDDING PROCEDURE
Except as otherwise provided in this chapter, any purchase which exceeds ten
thousand dollars ($10,000) in value for supplies, services, and equipment or the
amount established by Government Code Section 37902 and succeeding amendments
for contracts on public works projects, will be by formal bid.
Notices inviting sealed bids shall be published at least twice, not
less than five (5) days apart, the last time being ten (10) days before
the date of the opening of the bids, in a newspaper of general circula-
tion in the City of Poway, or it shall be posted in at least three
places in the City that have been designated by ordinance as the places
for posting public notices.
Notices inviting bids shall include a general description of the
articles to be purchased, where bid forms and specifications may be
obtained, and the time, date and place for the opening of bids.
When deemed necessary by the Purchasing Manager, bidders security may
be prescribed in the public notice inviting bids. Bidders shall be
entitled to return of bid security; provided, however, that a success-
ful bidder shall forfeit his bid security upon his refusal or failure
to execute the contract within ten (10) days after the notice of award
of contract has been mailed. The City Council may, on refusal or
failure of the successful bidder to execute the contract, award it to
the next lowest responsible bidder. If the City Council awards the
contract to the next lowest bidder, the amount of the lowest bidder's
security shall be applied by the City to the contract price differ-
ential between the lowest bid and the second lowest bid, and the sur-
plus, if any, shall be returned to the lowest bidder. If the City
Council rejects all bids presented, due to the failure of the success-
ful bidder to execute the contract, and readvertises, the amount of the
lowest bidder's security may be used to offset the cost of receiving
new bids and the surplus, if any, shall be returned to the lowest
bidder.
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De
Sealed bids together with bidder's security shall be submitted to the
Purchasing Manager; said bid shall be so identified on the envelope.
Bids shall be opened in public at the date, time and place stated in
the public notices inviting the bids. Any bid received after the
scheduled time of the bid opening shall be returned to the bidder
unopened. A tabulation of all bids received shall be available for
public inspection during regular business hours for a period of not
less than thirty (30) calendar days after the bid opening.
At its sole discretion, the City Council may reject any and all bids
presented and readvertise for bids pursuant to the procedure prescribed
above. In the event no bids are received or all bids are rejected, the
City Council may, in acccordance with Government Code 37905, direct the
Purchasing Manager to proceed pursuant to paragraphs relating to Open
Market Procedure or Competitive Negotiations.
If two or more bids received are for the same total amount or unit
price, quality and service being equal, the City Council may at its
discretion accept the bid it chooses with or without further negotia-
tion with the tie bidders.
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The City shall have authority to require a performance bond before
entering a contract in such amount as it finds reasonably necessary to
protect the best interests of the City. If the City requires a perfor-
mance bond, the form and the amount of the bond shall be described in
the notice inviting bids.
Section 8: OPEN MARKET PROCEDURE
Purchase of supplies, services and eguipment may be made by the Purchasing
Manager in the open market pursuant to the procedure hereinafter prescribed and
without observing the Formal Bidding Procedure. This may be, when the estimated
value of supplies, services and equipment to be purchased is less than ten
thousand dollars ($10,000) or the amount requiring a formal bidding process for
a public works project or when in the course of bid procedures provided no bids
are received or the City Council has rejected all bids pursuant to Government
Code 37905. If the Open Market Procedure applies, the Purchasing Manager shall
solicit bids by written request to prospective vendors or by telephone. Open
market purchases shall, wherever possible, be based on at least three bids and
shall be awarded to the lowest responsible bidder. The lowest responsible
bidder will be the individual or firm who submits a responsible bid based on
total cost, and which is determined to be the most advantagious to the City.
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Section 9: COMPETITIVE NEGOTIATIONS
The Purchasing Manager may authorize the purchase of highly technical supplies
or equipment by competitive negotiations when:
A. the supplies or equipment are such that suitable technical or perfor-
mance specifications are not readily available;
B. the City is not able to develop descriptive specifications; or
C. the technical nature of the product purchased is such that through
bidding the lowest price could very well provide the poorest quality
and still be within specifications;
D. the proposals for the purchase would be more advantageous to the City.
Section 10: PROFESSIONAL SERVICES
Requests for proposals shall be used when the services of attorneys, architects
or consultants are needed. Whenever possible at least three (3) proposals shall
be received for the professional service needed. ~ne requirement of multiple
proposals may be waived if only one (1) firm or individual can provide the
professional service. The selection of the professional shall be based upon an
analysis of demonstrated competence and professional qualifications necessary
for the satisfactory performance of the service required as well as the cost of
the service. When the purchases are made by competitive negotiations, the best
proposal, as judged against evaluation criteria shall be accepted. ~ne use of
competitive negotiation is not intended to be used for the purpose of avoiding
the bidding procedures as set forth in this chapter.
Section 11: COOPERATIVE PURCHASING
Purchase of supplies, services and equipment by contract, arrangement and
agreement for the cooperative purchasing programs with the State of California,
the County of San Dieg~ and any other public or municipal corporation of the
State of California may, be made by the Purchasing Manager when the administering
agency has made their ~urchase in a competitive manner.
Section 12: AWARD AN~ EXECUTION OF CONTRACTS
Except in emergency sltiuatlons, all contracts for supplies, services and equip-
ment in an estimated amount of ten thousand dollars ($10,000) or more and public
works projects in an es'timated amount of five thousand dollars ($5,000) or more
shall be awarded by the City Council. Contracts for supplies, services and
equipment in an amount less than those prescribed herein shall be executed by
the City Manager or his designee.
ORDINANCE NO. 55
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Section 13: ORDINANCE AND RESOLUTION RESCINDED
Ordinance No. 64-79, adopted by the Poway Municipal Water District and
Resolution No. 55, adopted by the Pomerado County Water District are hereby
rescinded and of no further force and effect.
Introduced and first read at a regular meeting of the City Council of the
City of Poway held the 23rd day of March, 1982 and thereafter PASSED AND ADOPTED
at a regular meeting of said City Council held the 30th day of March , 1982
by the following roll call vote:
AYES:
NOES:
ABSENT:
COUNCILMEMBERS: Oravec, Rexrode, Shepardson, Tarzy, Emery
COUNCILMEMBERS: None
COUNCILMEMBERS: None
Robert C. Emery, Mayor
Marj~orie ~. Wahlsten, City Clerk