Bakersfield Municipal Code Ch. 3.20 Purchasing

Sections: 3.20.010 Authority of purchasing division. 3.20.020 Adoption of purchasing system. 3.20.030 Filing estimates of requirements. 3.20.040 Annual contracts. 3.20.050 Requisitions. 3.20.060 Bidding. 3.20.065 Dispute resolution committee. 3.20.066 Pre-qualification of bidders. 3.20.068 Bid protests. 3.20.070 Purchase orders.

3.20.080 Encumbrance of funds. 3.20.090 Formal contract procedures. 3.20.100 Open market procedure. 3.20.105 Contract procedures. 3.20.110 Inspection and testing. 3.20.120 Surplus supplies and equipment. 3.20.125 Sale of surplus real property. 3.20.126 Lease of spaces in city-owned parking facilities, of city-owned downtown business properties and of city-owned property at the Bakersfield Municipal Airport. 3.20.130 Exception.

The purchasing division of the finance department shall be vested with authority for the purchase of supplies, equipment and incidental services. (Prior code § 5.20.010)

In order to establish efficient procedures for the purchase of supplies, equipment, and incidental services, to secure for the city supplies, equipment, and incidental services at the lowest possible cost commensurate with quality needed, to exercise positive financial control over purchases, to define clearly authority for the purchasing function and to assure the quality of purchases, a purchasing system is adopted. (Prior code § 5.20.020)

All departments shall file detailed estimates of their requirements in supplies and equipment, setting forth specifications in such manner, at such time, and for such future periods as the purchasing rules and regulations shall prescribe. (Prior code § 5.20.030)

The finance director or designated representative shall, in accordance with Section 134 of the City Charter, have authority to negotiate prices set forth in annual contracts for purchases of repetitively used items, and he or she shall have authority to accept proposals from, or enter into memorandum accounts with, vendors for items that are required in minor undetermined quantities which are not practical in competitive bidding. (Prior code § 5.20.040)

Departments shall submit requests for supplies and equipment to the finance department by standard requisition forms, or by other means as may be established by the administrative rules and regulations. (Prior code § 5.20.050)

A. Bidding Required. Except as provided below or in Section 3.20.040, all contracts for the erection, improvement or repair of any public buildings or works, or in furnishing any supplies, equipment and materials for the same, or for any other use by the city, shall be by bid procedures pursuant to Sections 3.20.090 and 3.20.100.

B. Rejection of Bids. The city council may, in its discretion, reject any and all bids and may readvertise for bids.

C. Award of Bids. Except as otherwise provided in this chapter, all bids shall be awarded by the city council to the lowest responsible bidder submitting a responsive bid resulting in the lowest possible net cost to the city.

D. Bidding Exceptions. Bidding may be dispensed with pursuant to the procedures prescribed in this section and Section 136 of the City Charter.

1. Projects for the erection and/or construction of all public buildings and works, and for furnishing any
supplies and materials for the same, or for any other use by the city, and projects for the improvement, repair
or maintenance of all public buildings and works, and for furnishing any supplies and materials for the same,
the cost of which is one hundred thousand dollars or less, and contracts for the purchase of concrete, fuel
and asphalt, the cost of which is one hundred and fifty thousand dollars or less, may be performed by a city
department or may be obtained in the open market pursuant to Section 3.20.100 as determined by the city
manager to best serve the needs of the city.

2. When the city council, by resolution, determines that work, supplies, equipment or materials can only be
reasonably obtained from one vendor because of restricted availability of such work, supplies, equipment or
materials, or because of the necessity to successfully integrate such work, supplies, equipment or materials
into an existing city project or system.

3. When the city council, after rejecting bids, or if no bids are received, by a resolution adopted by at least
four affirmative votes declares that, in its opinion, based on estimates supplied by the city manager, the work
in question may be performed better or more economically by city employees or the supplies, equipment or
materials may be purchased more economically on the open market.

4. When the city council, by a resolution adopted by at least five affirmative votes containing a declaration
of facts, deems work, supplies, equipment or materials to be of urgent necessity for the preservation of life,
health or property.

5. When the city council, by resolution, establishes findings justifying an exception to the bidding process, and determining that work, supplies, equipment and materials can be best obtained through the design/build construction procurement process, then upon adoption of such resolution by the city council, the following design/build procurement process shall be used:

   a. When the city council authorizes the use of the design/build procurement process for a specific
   project, the city manager or designee may proceed pursuant to this section.

   b. For the purposes of this section, “design/build” means a procurement process in which both the
   design and construction of a project are procured from a single entity.

   c. For the purposes of this section, “design/build entity” means a partnership, corporation, joint
   venture, or other legal entity that is able to provide appropriately licensed contracting, architectural and
   engineering services as needed.

   d. The selection criteria for the design/build competition shall be based upon performance, price and
   other criteria set forth by the city manager or designee in the solicitation proposals. The city manager or
   designee shall establish technical criteria and methodology, including price, to evaluate proposals, and
   shall describe the criteria and methodology in the request for design/build proposals. Criteria used in
   this evaluation of proposals may include, but need not be limited to, items such as proposed design
   approach, life cycle cost, project features and functions. The award shall be made to the design/build
   entity whose proposal is judged as meeting the best interest of the city and meeting the objectives of the
   project.

   e. Prior to contracting for the procurement under design/build, the city manager or designee shall:

   i. Prepare a program setting forth the scope of the project that may include, but is not limited to,
   the size, type, and desired design character of the buildings and site, performance specifications
   covering the quality of the materials, equipment and workmanship, or any other information
   deemed necessary to describe adequately the city’s needs. The performance specifications shall be
   prepared by a design professional duly licensed and registered in the state of California.

   ii. (A) Establish a competitive selection process for design/build entities, including any
   subcontractors listed at the time of the submission, that clearly specifies the selection criteria,
   as well as recommends the manner in which the winning entity will be selected.

   (B) The city manager or designee shall consider at least the following criteria in selecting a
   design/build entity:

(1) Possession of all required licenses, registration, and credentials in good standing that are required to design and construct the project;

(2) Submission of evidence that establishes the design/build entity members have
completed, or demonstrated the capability to complete, projects of similar size, scope or complexity, and that proposed key personnel have sufficient experience and training to
competently manage and complete the design and construction of the project;

(3) Submission of a proposed project management plan that establishes the design/build
entity has the experience, competence and capacity needed to effectively complete the
project;

(4) Submission of evidence that establishes the design/build entity has the capacity to
obtain all required payment and performance bonding, liability insurance, and errors and
omissions insurance, as well as a financial statement that assures the city the design/build
entity has the capacity to complete the project;

(5) Provision for a declaration certifying that applying members of the design/build entity
have not had a surety company finish work on any project within the last five years;

(6) Provision for information and a declaration providing details concerning at least the
following:

(a) Any construction or design claim or litigation totaling more than five hundred
thousand dollars or five percent of the annual value of work performed, whichever is
less, settled or filed against any member of the design/build entity over the past five
years,

(b) Serious violations of the Occupational Safety and Health Act, as provided in Part
1 (commencing with Section 6300) Division 5 of the Labor Code, settled or filed
against any member of the design/build entity,

(c) Violations of federal or state law, including, but not limited to, those laws
governing the payment of wages, benefits, or personal income tax withholding, or
Federal Insurance Contribution Act (FICA) withholding requirements, State Disability
Insurance withholding, or unemployment insurance payment requirements, settled
or filed against any member of the design/build entity over the past five years,

(d) Information required by Section 10162 of the Public Contracts Code,

(e) Violation of the Contractor State License Law (Chapter 9) commencing with
Section 7000 (Division 3 of the Business and Professions Code), excluding alleged
violations or complaints,

(f) Any criminal conviction or finding of liability or settlement in a civil action
involving any member of the design/build entity of submitting a false or fraudulent
claim to a public agency over the past five years,

(g) Provision for a declaration that the design/build entity will comply with all other
provisions of law applicable to the project.

f. The city council recognizes design/build entity is charged with performing both design and
construction. Because a design/build contract may be awarded prior to the completion of a design, it is
often impracticable for the design/build entity to list all subcontractors at the time of the award. As a
result, a subcontractor listing requirement can create a conflict with the implementation of the design/
build process by requiring all subcontractors to be listed at time when a sufficient set of plans may not
be available. It is the intent of the city council to establish a clear process for the selection and award of
subcontracts entered into pursuant to this section in a manner that maintains protection for
subcontractors while enabling design/build projects to be administered in an efficient fashion. Therefore,
the following requirements shall apply, at a minimum, to subcontractors, licensed pursuant to Chapter 9
(commencing with Section 7000) of Division 3 of the Business and Professions Code, that are employed
in design/build projects undertaken pursuant to this section:

i. The city manager or designee, and each design/build request for proposal, may identify types
of subcontractors by subcontractor license classification that will be listed by the design/build entity
at the time of the submission of proposal. In selecting the subcontractors that will be licensed by the
design/build entity, the city manager or designee shall limit the identification to only those licensed
classifications deemed essential for proper completion of the project. All subcontracts that were not
listed by the design/build entity at the time of the submission of proposal shall be awarded in
accordance with subsection (D)(5)(f)(ii) of this section.

ii. All subcontracts that were not to be performed by the design/build entity in accordance with
subsection (D)(5)(f)(i) of this section shall be competitively bid and awarded by the design/build
entity in accordance with the design/build process set forth by the city manager or designee in the
design/build package.

g. Any design/build entity that is selected to design and build a project pursuant to this section shall
possess or obtain sufficient bonding as required by law. Nothing in this section shall prohibit a general or
engineering contractor from being designated the lead entity on a design/build entity for the purposes of
purchasing necessary bonding to cover the activities of the design/build entity.

6. When the city council determines by resolution that work, supplies, equipment or materials are not
available from local vendors and that it is in the best interests of the city, and to the city’s economic
advantage, that such work, supplies, equipment or materials be obtained at the lowest possible cost for the
quality needed by entering into a city, county, state or federal government cooperative procurement contract
that was competitively awarded by another governmental agency either within the last thirty-six months or is
one that is still active and valid.

7. When a local vendor or company has successfully obtained a contract that was competitively awarded by
another governmental agency either within the last thirty-six months or is one that is still active and valid as a
participant in a cooperative procurement contract, the city council may determine by resolution to dispense
with bidding requirements for work, supplies, equipment or materials by participating in the cooperative
procurement contract that was competitively awarded to the local vendor or company either within the last
thirty-six months or is one that is still active and valid. (Ord. 5187 § 1, 2024; Ord. 5061 § 1, 2021; Ord. 4860 § 1,

2016; Ord. 4285 § 1, 2005; Ord. 3914 § 1, 1999; Ord. 3863 § 1, 1998; Ord. 3749 § 1, 1997; Ord. 3616 § 1, 1994;
Ord. 3214 § 1, 1989; prior code § 5.20.060)

A. The vice mayor, with the approval of the city council, may appoint an advisory ad hoc dispute resolution committee consisting of three persons as follows: one person from city staff and two persons from private industry. All appointees to the committee shall have experience and knowledge concerning the construction industry. The vice-mayor shall appoint the committee chairman. No member shall have any direct involvement with the dispute between the bidder or contractor. Each member of the committee shall be appointed for one hearing only.

B. The dispute resolution committee shall hear issues referred by the city council. If the issue involves whether or not a contractor is a responsible bidder the committee may consider that a responsible bidder may include those contractors who have demonstrated the quality, fitness and capacity to perform under the terms and conditions of the contract including, but not limited to: a consistent record of timely performance on similar work in the past, proven financial resources, proven technical proficiency, and the committee may consider reviewing any past violations of law and regulations and past practices that resulted in additional costs to city. The dispute resolution committee shall take evidence only on the issue of the contractor’s quality of work and fitness and capacity to perform the contract as a responsible bidder. The city must show, by preponderance of the evidence, that the contractor is nonresponsible. When the issue involves a bid dispute, the committee shall receive evidence on the substance of the dispute in accordance with the rules set forth below and California law concerning the rights and responsibilities of bidders.

C. The hearing before the dispute resolution committee shall consist of a one-hour presentation by each side followed by a fifteen-minute closing presentation. No cross-examination of witnesses shall be allowed by any party. Questions by the committee shall be allowed after both sides have completed their presentations. The committee may, at its sole discretion, alter the procedures upon majority vote.

D. Written material must be presented to each member of the dispute resolution committee, and the opposing side, at least five working days before the scheduled hearing. Any rebuttal written material must be given to the dispute resolution committee at the time of the scheduled hearing. Rebuttal written material may not address any subject matter not specifically contained in the original materials submitted to the dispute resolution committee. No other written material may be presented without the express authorization of the committee.

E. The dispute resolution committee shall issue a written advisory decision to the city council setting forth their decision and its basis. Such decision shall be transmitted to the city council for consideration at the next regularly scheduled city council meeting following the issuance of the written decision, subject to agenda deadlines. The advisory decision shall be reviewed by the city council who will then make the final decision. (Ord. 3860 § 1, 1998; Ord. 3759 § 1, 1997)

A. The city manager, or designee, may at the city managers or designees discretion, authorize a pre-qualification screening for potential bidders on projects with an estimated value of two hundred fifty thousand dollars or more, or on any project where the city manager, or designee, determines special expertise, equipment or materials are required to properly complete the project.

B. All prospective bidders shall receive written notification within a reasonable period of time of the acceptance of their pre-qualification submittal or the disqualification of such submittal. Should a prospective bidder be disqualified in the pre-qualification process, that prospective bidder may appeal the decision to the city manager, or designee, upon written request setting forth the specific reasons for the appeal with the city clerk filed within seven working days of the mailing or delivery of the notice of disqualification. The city manager, or designee, shall hold a hearing within three working days of the filing of the notice of appeal and allow the appealing prospective bidder an opportunity to be heard on the disqualification. The appellant and city may present evidence, testimony and information relevant to the disqualification. The city manager or designee shall issue a written decision after the conclusion of the hearing and mail or cause to be delivered said decision to the appellant.

C. Should the prospective bidder be dissatisfied with the city managers or designees written decision the aggrieved bidder may appeal the same to the city council by filing a written notice of appeal setting forth the specific reasons for the appeal with the city clerk within five days of the mailing or delivery of the decision by the city manager, or designee. The city council shall hold a hearing on the disqualification within three weeks, or as soon thereafter as possible, of receipt of the notice of appeal. Pending the hearing before the city council, the decision of the city manager, or designee, shall remain in full force and effect. Should the decision of the city manager, or designee, be reversed or revised by the city council, the decision shall take effect as of the date of the city councils decision and shall not be retroactive.

D. The decision of the city council shall be final. Such decision shall be mailed or delivered to all parties.

E. To the extent allowed by law, the information submitted by prospective bidders shall remain confidential except on appeals to the city council where information used to decide the appeal will become public. (Ord. 4027 § 1, 2001)

Bid protests shall be processed as follows:

A. Any protest concerning bids for a city project, or city purchase of supplies or materials, or the process followed by city for the award of such a contract must be made in writing on or before 4:00 p.m. on the day such matter comes before the city council for the contract to be awarded.

B. Upon receipt of such a protest, the finance director shall advise the city council of the facts and circumstances as are known to city surrounding the bidding process for that project.

C. The city council shall hear and determine the bid protest at the time the contract comes before the council for award of the project and before awarding the project; provided, however, the city council may by majority vote continue the matter to obtain additional information as the council deems necessary or may refer the protest to the dispute resolution committee for an advisory decision. The advisory decision of the dispute resolution committee shall be reviewed by the city council who will then make the final decision. (Ord. 3860 § 3, 1998; Ord. 3760 § 1, 1997)

A. Purchases of supplies and equipment shall be made only by purchase orders, except as otherwise provided in this chapter.

B. No purchase order shall be issued except by the finance director or his designated representative. (Prior code § 5.20.070)

Except in cases where necessary budget adjustments have been duly authorized, the finance director shall not issue any purchase order for supplies or equipment unless there exists an unencumbered appropriation in the fund account against which the purchase is to be charged. (Prior code § 5.20.080)

A. Except as otherwise provided in this chapter, the erection of any public building or works or furnishing any supplies, equipment and materials for same or for any other use by the city with an estimated value greater than one hundred thousand dollars and contracts for the purchase of concrete, fuel and asphalt with an estimated value greater than one hundred and fifty thousand dollars shall be by written contract or order with the lowest responsible bidder pursuant to the procedure prescribed in this section.

B. Notice Inviting Bids. Notices inviting bids shall include a general description of the articles to be purchased and shall state where bid forms and specifications may be secured and the time and place for opening bids.

1. Published Notice. Notices inviting bids shall be published at least five days before the date of the opening
of the bids. Notices shall be published at least once in a newspaper of general circulation published in the
city.

2. Bidders List. The finance department shall also solicit sealed bids from responsible prospective suppliers
whose names are on the bidders list or from responsible prospective suppliers who have made a written
request that their names be added thereto.

3. Bulletin Board. The finance department shall also advertise pending purchases by a notice posted on a
public bulletin board in City Hall.

C. Bidder’s Security. Except when inviting bids for the sale of supplies, equipment, or materials, a bid bond in an amount equal to ten percent of the bid shall be prescribed in the public notices inviting bids. When purchasing supplies, equipment, or materials, the finance director or designee at his or her discretion may prescribe in the public notices inviting bids an appropriate security deposit or other applicable bond in an amount not to exceed one hundred percent of the total bid price. Bidders shall be entitled to return of bid security; provided, however, that a successful bidder shall forfeit his or her bid security upon his or her refusal or failure to execute the contract within ten days after the notice of award of contract has been mailed, unless in the latter event the city is solely responsible for the delay in executing the contract. 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 differential between the lowest bid and the second lowest bid, and the surplus, if any, shall be returned to the lowest bidder. If the city council rejects all other bids and readvertises, the amount of the lowest bidder’s security may be used to offset the cost of receiving new bids and any difference between that bidder’s bid and the price of the contract which is executed, and the surplus, if any, shall be returned to the lowest bidder.

D. Bid Opening Procedure. Sealed bids shall be submitted to the finance department and shall be identified as bids on the envelope. Bids shall be opened in public at the time and place stated in the public notices. A tabulation of all bids received shall be open for public inspection during regular business hours for a period of not less than thirty calendar days after the bid opening.

E. Tie Bids. If two or more bids received are for the same total amount or unit price, quality and service being equal, and if the public interest will not permit the delay of readvertising for bids, the city council may in its discretion accept the one it chooses.

F. Bonds. Except for work to be performed by the city’s own work forces, the following bonds shall be procured. In every contract for the erection of any public building or works, or in furnishing any supplies, equipment and materials for same, the city shall require a faithful performance bond in an amount equal to one hundred percent of the contract price issued by an insurer admitted to transact the class of surety insurance in the state of California and rated B+7 or better by A.M. Best Rating Service or an equivalent nationally recognized rating service. In addition to the above performance bond, in every contract for the erection of any public building or works, or in furnishing any supplies, equipment and materials for same, unless otherwise required by law, the city shall require a faithful labor and materials bond (payment bond) in an amount equal to one hundred percent of the contract price issued by an insurer admitted to transact the class of surety insurance in the state of California and rated B+7 or better by A.M. Best Rating Service or an equivalent nationally recognized rating service.

G. Retention Percentage. In contracts for the erection, improvement or repair of any public building or work, the city shall retain a percentage of each progress payment as permitted by law; provided, however, on contracts of five hundred thousand dollars or more, once the work under the contract has been at least fifty percent completed to the satisfaction of the city engineer, the finance director may direct that the city withhold no additional retention or reduce the percentage retained from future progress payments.

H. Substitution of Securities. The provisions of subsection G of this section notwithstanding, to the extent required by law, securities provided by the contractor may be substituted in lieu of any such retention. (Ord. 5186 § 1, 2024; Ord. 4692 § 1, 2012; Ord. 4285 § 1, 2005; Ord. 4028 § 1, 2001; Ord. 3981 § 1, 2000; Ord. 3750 § 1, 1997; Ord. 3617 § 1, 1994; Ord. 3214 § 2, 1989; prior code § 5.20.090)

A. The erection, improvement or repair of any public buildings or works or in furnishing any supplies, equipment and materials for same or for any other use by the city with an estimated value in the amount of one hundred thousand dollars or less and contracts for the purchase of concrete, fuel and asphalt, the cost of which is one hundred and fifty thousand dollars or less, may be made by the finance director in the open market pursuant to the procedure described in this section without observing the procedure prescribed in Section 3.20.090.

B. Minimum Number of Quotes. Open market purchases shall, wherever possible, be based on at least three quotes.

C. Written Quotes. The finance director shall solicit written quotes from prospective vendors by telephone, written requests and by public notice posted on a public bulletin board in City Hall for single purchases of more than ten thousand dollars and less than one hundred thousand dollars and one cent and for single purchases of concrete, fuel and asphalt of more than ten thousand dollars and less than one hundred and fifty thousand dollars and one cent.

D. Records Retention. The finance director shall keep a record of all open market orders and quotes for a period of two years after the submission of quotes or the placing of orders. This record, while so kept, shall be open to public inspection.

E. Oral Quotes. The finance director shall obtain oral quotes from prospective vendors for single purchases of twenty-five thousand dollars or less, except when: (1) written quotes have been obtained; (2) the amount involved is less than ten thousand dollars and one cent and the finance director has determined more than one quote to be impractical; (3) bidding has been dispensed with in accordance with Section 3.20.060; or (4) the purchase is to be made through petty cash procedures.

F. Petty Cash. Purchases may be made through petty cash procedures prescribed by administrative rules and regulations. Neither bids or quotes shall be required for petty cash purchases. (Ord. 5186 § 2, 2024; Ord. 4285 § 1, 2005; Ord. 3863 § 2, 1998; Ord. 3750 § 1, 1997; Ord. 3214 § 3, 1989; Ord. 3006 § 5, 1985; prior code § 5.20.100)

A. Amounts of Twenty-Five Thousand Dollars or Less. All contracts involving the purchase of services under which the city is obligated to pay twenty-five thousand dollars or less shall be set forth in writing, approved as to form by the city attorney, signed by a city department head and the finance director, and filed with the city clerk.

B. Contracts of More than Twenty-Five Thousand Dollars and Less Than One Hundred Thousand Dollars and One Cent. All contracts involving the purchase of services under which the city is obligated to pay more than twenty-five thousand dollars and less than one hundred thousand dollars and one cent shall be set forth in writing, approved as to form by the city attorney, signed by the mayor, a city department head, the city attorney, the finance director, and filed with the city clerk.

C. Amounts Over One Hundred Thousand Dollars. With the exception of contracts under the city’s single-family residential rehabilitation program which are funded with federal funds, which do not exceed the city council- adopted maximum amounts, all contracts under which the city is obligated to pay more than one hundred thousand dollars, whether or not such amounts will be paid or reimbursed by a third party, shall be authorized only by the city council. Such contracts shall also require the signatures set forth in subsection B of this section.

D. Amendment to Contracts. Any amendment or modification of any contracts subject to the provisions of this section shall be set forth in writing and signed as required by the applicable subsection of this section. Contracts requiring city council authorization, except for public works contracts, may only be amended by city council action. Except for public works contracts, amendments cumulatively exceeding the amounts set forth in subsection B of this section shall be authorized only by the city council.

E. Public Works Contract Amendment. Each amendment to a public works contract (change order) exceeding an amount of twenty-five thousand dollars or which, together with all other previously approved change orders for that contract, exceeds twenty-five percent of the original contract amount, must be authorized by the city council and shall require the signatures specified in subsection B of this section, regardless of whether the city’s obligation under the original contract was for one hundred thousand dollars or more. Other change orders shall not require city council approval, but shall require the signatures specified in subsection B of this section.

F. Representation Must Be in Writing. The city of Bakersfield shall not be bound by any representation of any officer, employee or agent of the city which would serve to create or amend a contract unless and until such representation has been set forth in writing and approved and signed as set forth in this section.

G. Notwithstanding subsection C of this section, contracts for the purchase of concrete, fuel and asphalt less than one hundred and fifty thousand dollars and one cent shall not require city council authorization. (Ord. 5203 § 1, 2025; Ord. 5186 § 3, 2024; Ord. 4285 § 1, 2005; Ord. 4057 § 1, 2002; Ord. 3863 §§ 3—7, 1998; Ord. 3750 § 1, 1997; Ord. 3705 § 1, 1996; Ord. 3278 § 1, 1990)

A. The finance director or his designated representative shall inspect supplies and equipment delivered to determine their conformance with the specifications set forth in the order.

B. The finance director shall have authority to require chemical and physical tests of samples submitted with bids and samples of deliveries which are necessary to determine their quality and conformance with specifications. (Prior code § 5.20.110)

All department heads of the city shall submit to the finance director, at such times and in such form as he or she shall prescribe, reports showing stock, materials and equipment on hand not then in use in the department. When a surplus of stock, materials or equipment exists in any department, the finance director may transfer the same to any other department or departments having a need for such stock or any portion thereof on approval of the city manager. When it is found by the finance director that a surplus of stock, materials and/or equipment exists which is not needed for use by any city department, the city manager may authorize the sale thereof by the finance director, and the proceeds from any such sale or sales shall be deposited in the city treasury. Such sale or sales shall be conducted in any manner approved by city council or in the following manner:

A. Upon authorization of the city manager, the finance director shall obtain competitive and formal quotations for the sale of surplus stock, materials or equipment, when any one item or group of items offered for sale amounts to more than one thousand dollars in appraised resale value.

B. When items offered for sale amount to more than one thousand dollars in appraised resale value, the finance director shall cause notice of sale to be published at least five days before the sale, in the official newspaper, giving a general description of the items to be sold, where bids are to be received, and the time and place of sale. The finance director shall, in addition, solicit sealed quotations from prospective buyers, by telephone or by sending them copies of newspaper notices, or other methods designed to reach the greatest number of prospective buyers.

C. When any separate item or items of such surplus stock, material or equipment to be offered for sale amounts to one thousand dollars or less, the finance director may accept informal written bids or quotations for the sale of such item or items, without causing a notice of sale to be published in a newspaper.

D. At the time and place of sale of such surplus stock, material or equipment, oral bids may be considered by the finance director, after giving proper notice of such fact, provided such oral bids shall be at least ten percent higher than the highest written bid received at the time of opening of bids.

E. The finance director may, at his or her discretion, require cash or a cashiers check in an amount equal to ten percent of the price bid to be deposited by the bidder at the time of making or submitting his or her bid. The person to whom any bid is awarded shall consummate the purchase within five days from then, excluding the day of the award of such bid.

F. Whenever another governmental entity or a nonprofit organization having tax exempt status as determined under Section 501(c) Internal Revenue Code has requested the opportunity to purchase surplus stock, materials or equipment, the finance director may, without complying with other provisions of this section, negotiate with such governmental entity or nonprofit organization for the price to be charged for such surplus stock, materials or equipment. Any sale to a governmental entity or nonprofit organization shall be subject to confirmation and approval by the city council which, in its discretion, may authorize or reject such sale. If the sale is rejected, the property will be disposed of as surplus stock, materials or equipment as provided by the provisions of this chapter.

G. When surplus stock, material or equipment is unique (e.g., refuse truck, fire truck, street sweeper) and does not lend itself to disposal by the aforementioned procedures, the finance director may retain the services of an equipment broker to dispose of said surplus items if the use of said broker would, in the opinion of the finance director, allow the city to receive the maximum market value for the equipment. (Ord. 3590 § 1, 1994; Ord. 3373 § 1, 1991; Ord. 3114 § 1, 1987; Ord. 3055 § 1, 1986; Ord. 3006 § 6, 1985; prior code § 5.20.120)

When it is found by the city manager that the city owns real property which is no longer needed by the city (except for property held in public trust), he shall report the property description and any other pertinent information to the city council which may declare the property “surplus” or “exempt surplus” and authorize the sale thereof by the city manager or designee and the proceeds from any such sale shall be deposited in the city treasury. Under the direction of the city manager or designee, the declaration by city council and the sale shall be conducted in accordance with Government Code Section 54220 et seq. Such sale shall be conducted either by competitive bids or by negotiated sale in the following manner:

A. Competitive Bids. The city manager or designee shall obtain an appraisal on the real property to be sold, when such property exceeds four thousand dollars in value, and shall advertise for competitive and formal bids with a minimum bid of no less than ten percent below the appraised value. If the property is valued at less than four thousand dollars, then the city manager or designee may accept informal bids. The highest bid shall be accepted for sale. At the time and place of such sale, oral bids may be considered by the city manager or designee after giving proper notice of such fact, provided such oral bids shall be at least five percent higher than the highest written bid received at the time of opening of bids. The city manager or designee may, at his discretion, require cash or cashier’s check in an amount equal to ten percent of the bid price to be deposited by the bidder at the time of making or submitting his bid. The winning bid shall be awarded in accordance with Government Code Section 54220 et seq. The person to whom any bid is awarded shall execute the purchase and sale agreement within fifteen days and consummate the sale based on the terms of said agreement, unless otherwise provided by the city manager or designee.

B. Negotiated Sale. The city council may authorize a negotiated sale of real property at or below the real property’s appraised value in accordance with Government Code Section 54220 et seq. and any other applicable state and/or federal requirements. (Ord. 5133 § 1, 2023; Ord. 5084 § 1, 2022; Ord. 3799 § 1, 1997; Ord. 3006 § 7, 1985; Ord. 2835 § 1, 1983)

downtown business properties and of city-owned property at the Bakersfield Municipal Airport.

A. The city manager or designee is authorized on behalf of the city to approve and execute leases which have been approved as to form by the city attorney of space in city-owned parking facilities in circumstances where the lessees of such spaces require such spaces to meet zoning ordinance requirements; and of city-owned downtown business properties. The lease payments for parking facilities shall be consistent with a council-adopted rate schedule and the lease payments for city-owned downtown business properties shall be for fair rental value, as determined by the finance director, not to exceed one thousand dollars per month. The term of such leases shall not exceed two years.

B. The city manager or designee is authorized on behalf of the city to approve and execute leases which have been approved as to form by the city attorney of property at the Bakersfield Municipal Airport, provided each such lease shall be for a period not to exceed two years and shall provide for lease payments consistent with a council- adopted rate schedule.

C. The city manager or designee is authorized on behalf of the city to approve and execute agreements which have been approved as to form by the city attorney for the rooftop area of the city-owned parking structure located at the northwest corner of 18th and Eye Streets. The city manager or designee shall establish the terms and conditions of such agreements, except that fire marshal or designee shall set a maximum number of people which will be permitted to occupy the rooftop area, and such number shall be reflected on any application for rental, and the rental fee shall be set by a resolution of the City Council. (Ord. 3771 § 1, 1997; Ord. 3523 § 1, 1993; Ord. 3145 § 1, 1988; Ord. 3132 § 1, 1988)

To the extent that the procedures set forth in this chapter for purchasing supplies, equipment and incidental services differ from the procedures contained in the agreement by and between the city and California Water Service Company for the operation of the Kern Island Water Company system, this chapter shall not be applicable. (Prior code § 5.20.125)