HomeMy WebLinkAboutOrd1981-503
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troduction Date:
u 1ic Hearing and
Enactment:
11/9/81
12/14/81
CITY OF SEWARD, ALASKA
ORDINANCE NO. 503
AN ORDINANCE OF THE CITY OF SEWARD, ALASKA
AMENDING THE BIDDING PROCEDURES.
THE CITY OF SEWARD, ALASKA, ORDAINS:
Sec. 10-7.
Generally.
Purchase Orders: Form of Expenditures
(a) Every undertaking of the City involving the
expenditure of City money shall be in writing, ~n the form of a
purchase order, credit card, travel voucher or of a contract, as
may be appropriate, and no officer or employee of the City shall
have authority to enter into any oral agreement involving the
expenditure of money. The City Manager and City Clerk shall sign
all contracts on behalf of the City, and the City Manager and the
Finance Director shall sign all purchase orders.
(b) The City Manager is hereby authorized to bind the
City by purchase order without advertising or previous action by
the City Council for the payment for labor, services, materials
or other valuable considerations, to be furnished to the City, or
for the lease or purchase of real property in amounts not
exceeding Five Thousand Dollars ($5,000.00) in anyone item, with
the exception that in the electric light and power division this
amount shall not exceed Ten Thousand Dollars ($10,000.00) in any
one item provided that all efforts have been made to provide the
City with the lowest and best prices obtainable. This may be
accomplished by requesting written quotations or advertising for
sealed bids. The City Manager may reject any or all quotations
and bids and may waive minor irregularities in the quotations and
bids
Purchase orders may be used in contracting for skilled
or unskilled labor or for labor and materials when the total cost
does not exceed Five Thousand Dollars ($5,000.00), where the
labor or materials desired are in fact a single purchase or
operation. Separate purchase orders shall not be issued for the
purpose of avoiding the limitations of this section.
(d) Purchase orders shall be issued upon requisitions
signed by the head of the division. All requisitions shall be
filed with the purchasing agent and no purchase shall be made
until an order has been obtained from him.
(e) In the absence of the City Manager, a person
designated by him, in writing, is hereby authorized to sign for
the City Manager purchase orders for materials, supplies and
equipment which do not exceed Five Hundred Dollars ($500.00) in
value, in conformance with control procedures to be established
by the City Manager for that purpose. (Ord. No. 349, ~4.106)
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Sec. 10-8. Bid Procedure.
(a) When the cost of equipment, supplies and materials
or labor required by the City exceeds the sum of Five Thousand
Dollars ($5,000.00), the City Manager shall call for bids by
advertising at least once in a newspaper of general circulation
in the City, not less than two weeks prior to the date set for
receiving bids.
(b) All bids must be accompanied by cash, a certificate
of deposit or certified check or draft, or a cashier's check or
a draft on some responsible bank in the United States, in favor
of and payable at sight to the City, for an amount equal to five
percent (5%) of the bid. If the bidder to whom the contract is
awarded shall, for fifteen days after such award, fail or neglect
to enter into a contract and file the required bond, the City
Clerk shall draw the money due on the certificate of deposit or
check or draft, and pay the same or any cash deposit into the
treasury, and under no circumstances shall it be returned to the
defaulting bidder. In lieu of the foregoing, any bid may be
accompanied by a surety bond in the amount, furnished by a surety
authorized to do a surety business in the state, guaranteeing
that the bidder will enter into a contract and file the required
bond within such period. Without limiting the foregoing, no plea
or defense of mistake by a bidder shall be available in any action
by the City for the recovery of any deposit, or in any action on
any surety bond or as a defense to any action based upon any re-
fusal to execute a contract.
(c) All bids shall be placed in a sealed envelope and de-
livered to the City Clerk, and opened by the City Manager, or a
person designated by him, in public, at the time and place des-
ignated in the notice inviting bids. The contract shall be let
to the lowest and best bidder by the City Council. The City
Council may reject any or all bids and may waive minor irregu-
larities in the bids.
(d) The City Clerk shall return to the unsuccessdul bidders
their certificates of deposit, drafts, checks or cash, and shall
retain the certificate of deposit, check, draft or cash of the
successful bidder until after the approval of the bond or other
security furnished by the bidder for the faithful performance of
his contract, and then shall return such certificate of deposit,
check, draft or cash to the successful bidder.
(e) Restrictions and provisions of this section shall not
apply
(1) to contracts for individual services requiring
special knowledge and judgment or professional services;
(2) to the purchase of a patented article;
(3) where an emergence makes the delay incident to
competitive bidding unreasonable;
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(4) where an emergency makes the delay incident to
the procedures for rejecting a low bid set out in Section
10-8.2 unreasonable;
( 5 )
( 6 )
services
or which
to the placement of insurance coverage;
to supplies, materials, equipment or contractual
which can only be furnished by a single dealer,
have a uniform published price;
(7) to supplies, materials, equipment or contractual
services purchased from another unit of government at a
price determined to be below that obtainable from private
dealers, including war surplus;
(8) to contractual services purchased from a public
utility corporation at a price or rate determined by
state or other government authority.
(f) Restrictions and provisions of this section shall not
apply where the City Council determines that the public interest
would be best served by the purchase of used equipment and by
resolution authorizes the City Manager to locate and purchase a
particular type and quantity of used equipment. The term "used
equipment", as expressed in the preceding sentence, shall mean
machinery and vehicles which have been in the active service of
the proposed seller for a period of not less than six (6) months
preceding its purchase by the City. (Ord. No. 434, Sl; Ord. No.
349, ~4.107)
(g) Restrictions and provisions of this section shall not
apply where the City Council determines and makes written findings
that the public interest would be best served by not requiring
competitive bidding. The best interest determination may be based
upon, but is not limited to, the following factors: the service
or articles can be procured at a lower cost without competitive
bidding; and the services or articles are budget items which were
approved by the City Council when the budget was approved.
Sec. 10-8.1. Award Only to Responsible Bidder.
(a) A Contract awarded under this chapter shall be made
only to a responsible bidder. The City Manager may report to the
City Council and recommend rejection of a bid on the basis of the
following criteria:
(1) The skill and experience demonstrated by the
bidder in performing contracts of a similar nature;
(2) The bidder's record for honesty and integrity;
(3) The bidder's capacity to perform in terms of
facilities, personnel and financing;
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(4) The previous and existing compliance by the
bidder with laws and ordinances relating to the contract;
(5) The number and scope of conditions attached to
the bid;
(6) The bidder's past performance under City con-
tracts. If the bidder has failed in any material way
to perform its obligations under any contract with the
City, the bidder may be deemed a nonresponsible bidder.
A report that the low bidder is not responsible shall
delay the award of the bid until after completion of the pro-
cedures outlined in Section 10-8.2.
Sec. 10-8.2. Not Responsible Bidder Finding.
(a) If the City Manager or his designee reports to the
City Council that the lowest bidder is not responsible, notice
shall immediately be sent to the lowest and next lowest bidders
and the report shall be placed on the agenda of the next scheduled
council meeting, provided that the next council meeting allows
two week's written notice to the lowest bidder and the next lowest
bidder.
(b) At the council meeting the lowest bidder and the City
Manager or his designee shall have the opportunity to be heard
regarding the adverse report.
(c) The City Council shall then determine whether it is in
the best interest of the public to affirm, reject, or modify the
City Manager's report and in so doing make written findings to
support its determination. The written findings shall be based
on, but not limited to, the criteria set out in Section 10-8.1.
Sec. 10-9. Examination of Claims.
The Finance Director shall examine all payrolls, bills,
claims and other demands of the City, and shall issue no warrant
for payment unless the claim is in proper form, correctly com-
puted and approved, and is legally due and payable and appro-
priation has been made thereof which has not been exhausted and
unless there is sufficient money in the City treasury to make
payment. (Ord. No. 349, ~4.108)
This ordinance shall take effect ten days after enactment.
this
ENACTED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA,
14 day of December , 1982.
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~CITY)OF SEWARD, ALASKA
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Donald W. Cripps, ayor
AYES:
NOES:
ABSENT:
CRIPPS, BURGESS, CAMPBELL, MEEHAN, O'BRIEN, SORIANO, SWARTZ
NONE
NONE
ATTEST:
APPROVED AS TO FORM:
HUGHES, THORSNESS, GANTZ, POWELL
& BRUNDIN
Attorneys for the City of Seward
CZt J1I~
Fred B. Arvidson
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