2.56.080 Contracts for supplies, equipment, or services exceeding $100,000 – Competitive bidding process – City Council or City Manager approval required.
The following competitive bidding and award process shall apply to contracts for supplies, equipment and services with a maximum contract amount in excess of $100,000:
A. Notice Inviting Bids. Notices inviting bids shall include a general description of the article or service, and shall be published by the Purchasing Agent at least once on the City’s Internet website, or in a newspaper of general circulation in the City, and any other method of advertising that is determined by the Purchasing Agent to be in the City’s best interest, at least 10 days prior to the bid opening date.
B. Bidder’s Security. The Purchasing Agent may require a bidder’s security in an amount equal to 10 percent of the bid, either in cash, certified or cashier’s check, or surety bond approved by the City Attorney and the Risk Manager. In the event a bidder’s security is required, no bid shall be considered unless the required security is submitted therewith. All bidder’s security is refundable, except in the case of a successful bidder who shall forfeit this security if the bidder fails to execute a contract within 10 days after the notice of award has been mailed or personally delivered, or otherwise fails to comply with the requirements to complete the transaction.
C. Bid Opening. Sealed bids shall be submitted to the Purchasing Agent, who shall open them in public at the time and place stated in the public notices. A secure, Internet-based system or other appropriate medium may be used in lieu of sealed bids opened in public; provided, that the Purchasing Agent has approved the system for accuracy, confidentiality, and reliability. A tabulation of all bids received shall be available for public inspection in the office of the Purchasing Agent, or on the City’s Internet website, for a period of not less than 30 calendar days after the bid opening. The Purchasing Agent may delegate this responsibility hereunder to responsible assistants and deputies.
D. Compilation of Bids and Recommendations. Following the opening of formal bids, the Purchasing Agent shall compile all of the bids and submit them to the requesting department head, together with a recommendation as to which bid he or she considers best, taking into consideration the amount of money bid, compliance with specifications, and responsiveness and responsibility of the bidder. The responsiveness of the bidder shall be determined by comparing the bid to the bid specifications and bid submittal requirements. In determining the responsibility of the bidder, the Purchasing Agent will be guided by, but not limited to, a consideration of the following factors:
1. The experience of the City in dealing with the low bidder;
2. The experience of other governmental agencies known to the Purchasing Agent in their previous transactions with the low bidder;
3. Knowledge of the quality and fitness of the product offered by the low bidder, substantiated by reports of using departments within the City or other governmental agencies;
4. Options to renew contracts for continuing purchases at the same bid price or with reasonable fixed or capped increases, in those circumstances where price increases are expected or have been experienced in the past;
5. Financial stability and business standing of the low bidder.
The requesting department head shall forward the compilation of bids and his or her recommendation with respect to an award to the City Manager, who in turn, will forward a recommendation for award to the City Council. The Purchasing Agent may reject any or all bids, or any one or more commodities or contractual services included in the proposed contract, if it is determined that the public interest will be served thereby.
E. Contract Awarding Authority. The City Council shall be the authority responsible for awarding contracts (“awarding authority”) with a maximum contract amount over $250,000; the City Manager shall be the authority responsible for awarding contracts with a maximum contract amount over $100,000 and up to $250,000. (For purposes of this chapter, City Manager authority shall include the City Manager’s designation of authority to the Purchasing Agent, or other designee, in accordance with an administrative City policy.) The awarding authority may make an award of contract to the lowest responsive and responsible bidder submitting the best bid in all respects.
F. Rejection of Bids – Alternative Procedures. The awarding authority may reject any or all bids, direct City forces to provide the required commodity or service, authorize the readvertising of bids, or authorize the purchase of supplies or services pursuant to the open market procedure set forth in CVMC 2.56.090.
G. Tie Bids. In the event two or more bids are received which are for the same total amount or unit price and in all other respects are equal, the contract shall be awarded to a local bidder. In the event, however, that such tie bids are all from vendors either wholly inside or all outside of the City, then the contract shall be awarded by drawing lots in public.
H. Performance Bond. The Purchasing Agent shall have authority to require a performance bond in such amount as he or she shall find reasonably necessary to protect the best interests of the City. (Ord. 3400 § 1, 2017; Ord. 2899 § 1, 2003; Ord. 2766 § 1, 1998).