Blythe Municipal Code Ch. 2.65 Purchasing System

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Editor's note— Ord. No. 905, § 1, adopted June 8, 2021, repealed the former Ch. 2.65, §§ 2.65.010—2.65.180, and enacted a new Ch. 2.65 as set out herein. The former Ch. 2.65 pertained to Purchasing Control System and derived from Ord. No. 878, § 1, adopted July 12, 2016.

A purchasing system is hereby established for the purpose of setting forth efficient procedures for the purchase of supplies, services and equipment, at the lowest possible cost commensurate with quality needed, to exercise positive financial control over purchases, and to clearly define authority for the purchasing function. Except as provided by this code, no city officer or employee shall order the purchase of any supplies, equipment, materials, or contractual services, or make any contract within the purview of this code, other than in accordance with the provisions of this code, the purchasing manual prepared by the purchasing agent, and with the approval of the purchasing agent. Any purchase or contract made contrary to this code shall be null and void.

Except as otherwise set forth herein, the provisions set forth in this chapter do not apply to public projects subject to the provisions of Chapter 2.66 of this code.

(Ord. No. 905, § 1, 6-8-21)

The purchasing system is intended to be centralized within the finance department of the city.

(Ord. No. 905, § 1, 6-8-21)

The following items are exempt from centralized purchasing and shall not require city council approval provided that an appropriation has been made therefor:

A. General expenses, including, but not limited to, payroll deductions, licenses, advertising, insurance premiums, damage claims, petty cash replenishment, tax remittances, refunds, postage, freight charges, debt service related payments, fuel, and charges to or from other government agencies.

B. Utilities, including the payment of water, electricity, natural gas, telecommunication, sewer, and trash expenses.

C. Training and education, including, but not limited to, conferences, conventions, courses, seminars, memberships, staff workshops, certifications, and subscriptions/publications.

D. Refundable employee expenses, including, but not limited to, advances, meal allowances, miscellaneous reimbursements, and travel expenses.

(Ord. No. 905, § 1, 6-8-21)

A. City Department or Agency. Any department, agency, commission, bureau or other unit of the city government which derives its support wholly or in part from the city or an entity associated with the city for which separate financial statements are required.

B. Gratuity. A gift, payment, loan, advance, deposit of money, or service, presented or promised in return for or in anticipation of favorable consideration in the procurement process. "Gratuity" does not include the compensation paid by or due from the city or from a temporary service agency under contract with the city to an employee in connection with the employee's services for the city.

C. Professional Services. Services that involve the exercise of professional discretion and independent judgment based on an advanced or specialized knowledge, expertise or training gained by formal studies or experience. Such services include, but are not limited to, those provided by accountants, appraisers, architects, attorneys, auditors, economic and financial advisors, election consultants, engineers, environmental consultants, information services consultants, instructors, insurance advisors, plan checkers, physicians, public relations consultants, surveyors and other specialized consultants.

D. Purchases. Purchases of supplies, equipment, personal property, and services shall include leases or rentals as well as transactions by which the city acquires ownership.

E. Supplies and Equipment. Any and all articles, things or personal property furnished to or used by the city department or agency.

F. Vendor Sourcing. Lists of known vendors for services, supplies and equipment maintained by the purchasing agent.

(Ord. No. 905, § 1, 6-8-21)

A. A position of purchasing agent is hereby created. The director of finance shall serve as the purchasing agent and may delegate purchasing duties as deemed necessary to carry out the duties set forth herein. In the event of the absence of the director of finance, the city manager shall serve as the purchasing agent.

B. The purchasing agent shall have the following powers and duties:

1. Prepare a written purchasing manual, subject to approval of the city manager, that implements the requirements of this chapter. The purchasing manual shall describe in detail the operational procedures and processes for the procurement of materials, supplies, services, equipment, and public works contracts.

2. Purchase or contract for materials, supplies, services, and equipment required by any city department in accordance with the requirements of this chapter, the purchasing manual prepared pursuant to this chapter, and such other rules and regulations as may be prescribed by the city council.

3. Negotiate and recommend the execution of contracts for the purchase of materials, supplies, services, and equipment.

4. Act to procure for the city the needed quality in materials, supplies, services, and equipment at the least expense to the city.

5. Obtain as full and open competition as possible on all purchases, which may include the use of vendor sourcing.

6. Keep informed of current developments in the field of purchasing, prices, market conditions and new products.

7. Prescribe and maintain such forms as are reasonably necessary to the purchasing operation.

8. Supervise the inspection of all materials, supplies, services, and equipment purchased to ensure conformance with specifications.

9. Supervise the transfer of surplus or unused supplies and equipment between departments as needed.

10. Recommend the sale of surplus real property and of all supplies and equipment which cannot be used by any city department or agency or which have become unsuitable for city use.

11. Maintain a bidders' list, vendors' catalog file, and such other records needed for the efficient operation of the purchasing division.

12. Prepare and recommend to the city council rules governing the purchase of materials, supplies, services, and equipment for the city.

13. Such other powers as delegated by the city manager or established by resolutions of the city council.

14. Execute contracts and documents provided for in California Government Code Section 40602 whenever such contracts and documents are within the purchasing agent's purchasing authority set forth in this chapter or have been approved by the city council for execution by the purchasing agent by resolution, motion, minute order or other appropriate action. Such power shall not be delegated.

(Ord. No. 905, § 1, 6-8-21)

A. Contracts and purchases subject to council appropriation and allocation of program or contract funds. All purchases and contracts authorized by the city council, city manager, or purchasing agent shall be subject to the prior appropriation and allocation of funds by the city council for the city programs, activities, functions or operations which the purchase of any materials, supplies, services, equipment, or combination thereof are intended to support.

B. Solicitation Procedures.

1. Small Purchase Procedures. Purchases of supplies, materials, services, and equipment estimated in value of five thousand dollars or less may be made without informal bids or quotes, subject, however, to fair, just and equitable terms and conditions of purchase.

2. Informal Bidding Procedures. Purchases of supplies, materials, services, and equipment estimated in value to be between five thousand dollars and one cent and seventy-five thousand dollars may be made in accordance with the informal bidding procedures set forth in this chapter.

3. Formal Bidding Procedures. Purchases of supplies, materials, services, and equipment estimated in value to be more than seventy-five thousand dollars shall be made in accordance with the formal bidding procedures set forth in this chapter.

C. Professional Services. In procuring professional services, all city departments and agencies shall comply with the provisions of Sections 4526 through 4529.5 and Section 37103 of the California Government Code, the city's purchasing manual, and other policies adopted by resolution of city council. All persons or entities to render professional services to the city shall render such services pursuant to a professional services agreement in a form approved by the city attorney.

D. Purchase Orders, Contracts, Petty Cash.

1. Purchase orders shall be used for all purchases of materials, supplies, services, and equipment. The purchase order shall incorporate by reference all relevant agreements, including, but not limited to, the city's professional services agreement, negotiated agreements, vender agreements and exhibits, attachments, addendums and other supporting documentation that, together, constitute the entire agreement.

2. All purchases and contracts for materials, supplies, services, equipment or combination thereof shall be in writing, in a format approved by the purchasing agent or city attorney.

3. The purchasing agent shall prescribe control procedures for the use of petty cash funds or city issued credit cards without prior use of purchase orders or contracts in the purchasing manual prepared pursuant to this chapter.

E. Purchase Order and Contract Approval Requirements.

1. The purchasing agent shall have the authority to bind the city by written contract or purchase order for any purchase involving an expenditure of fifteen thousand dollars or less.

2. The city manager shall have the authority to bind the city by written contract or purchase order for:

a. any purchase involving an expenditure of seventy-five thousand dollars or less; and

b. the purchase of any city vehicle, regardless of cost, provided such purchase complies with the requirements of this chapter.

3. Except as otherwise set forth in this section, city council authorization shall be required for any purchase or contract involving an expenditure of more than seventy-five thousand dollars.

F. Amendments to Purchase Orders and Contracts. Amendments to purchase orders and/or contracts may be approved as follows:

1. If the contract or purchase order was initially approved by the purchasing agent, the purchasing agent shall have the authority to approve amendments to such contracts and purchase orders that result in a total contract price that does not exceed the purchasing agent's contract approval authority as set forth in subsection E.1 of this section.

2. If the contract or purchase order was initially approved by the city manager, the city manager shall have the authority to approve amendments to such contracts and purchase orders that result in a total contract price that does not exceed the city manager's contract approval authority as set forth in subsection E.2 of this section.

3. If the contract or purchase order was initially approved by the city council, the city manager shall have the authority to approve any amendment that results in a total contract price that does not exceed ten percent of the original contract price, or such greater amount as may be authorized by the city council at the time it approves the contract or purchase order.

4. If an amendment or the aggregate sum of all amendments will exceed ten percent of the original contract price or such amount as was authorized by the city council at the time the city council approved the contract or purchase order, city council approval shall be required.

(Ord. No. 905, § 1, 6-8-21; Ord. No. 938, §§ 2—4, 4-8-25)

The following are exempt from the informal and formal competitive procurement requirements of this chapter. The purchases permitted under this section shall be subject to fair, just and equitable contract conditions.

A. Purchases made through a cooperative purchasing agreement or program, including, but not limited to, the California Multiple Award Schedules Program (CMAS), the U.S. General Services Administration (GSA) Multiple Award Schedules Program, Sourcewell, and the U.S. Communities Government Purchasing Alliance, provided that the following requirements are met:

1. The purchasing agent determines the purchase is in the best interest of the city;

2. The purchasing agent determines the purchase is to the city's economic advantage; and

3. The agreement was competitively awarded using a process that complies with policies, rules, and regulations as approved by the purchasing agent.

B. Purchases made using another governmental or public agency's contract or substantially the same terms, provided:

1. The other agency used a solicitation method substantially similar to the method required by this chapter;

2. The contract is consistent with the requirements of this code; and

3. The purchasing agent determines that the city will realize overall value by utilizing the other agency's contract or contract terms compared to the city performing its own procurement.

C. In the event of an emergency, as defined herein, the city manager may authorize the suspension of normal bidding or purchasing and procurement requirements for projects and services related to abatement of the impacts or effects of such emergency. With respect to contracts subject to formal bidding requirements, the city council shall, if possible, ratify such emergency suspension of procedures at the next properly noticed council meeting following the emergency procurement and consider whether further suspension of procedures is required to abate the impacts of the emergency. An emergency shall be deemed to exist if:

1. There is a public calamity such as fire, flood, earthquake, storm, or similar disaster that poses a serious threat to the public safety or national defense; or

2. There is an immediate need to prepare for or provide national or local defense; or

3. There is a breakdown in machinery or an essential service which requires the immediate purchase of supplies or services to protect the public health, welfare or safety; or

4. An essential operation or city service affecting the public health, welfare or safety would be greatly hampered if adherence to the prescribed purchasing procedures would cause undue delay in procurement of the needed item or service.

D. The commodity or services can be obtained only by one vendor, or only one vendor is able to supply a commodity or service within the timeframe or under terms and conditions which meet the needs of the city.

E. Contracts for professional services or negotiation for or acquisition of land or real property.

F. Procurements of insurance coverage and surety bonds.

G. Goods and/or services obtained from or through an agreement with any governmental, public or quasi-public entity.

H. Procurements funded by grants, donations or gifts when the special conditions attached to the grants, donations or gifts require the procurement of particular goods and/or services.

I. When the city council determines, by minute action or resolution, that compliance with the bidding requirements and procedures is inefficient, impractical, or not in the best interest of the city, based on specifically identified conditions set forth on the record.

J. Contracts for nuisance abatement services.

(Ord. No. 905, § 1, 6-8-21; Ord. No. 938, § 5, 4-8-25)

Except as otherwise set forth in this chapter, purchases of materials, supplies, equipment, and services involving an expenditure of seventy-five thousand dollars or less may be made in accordance with informal bidding procedures as follows without observing the formal bidding procedures set forth in this chapter:

A. Request for Bids/Proposals/Quotes. Bids, proposals, and quotes shall be solicited by written request, facsimile or electronic mail to prospective vendors.

B. Minimum Number of Bids/Proposal/Quotes. Whenever possible, the city shall obtain at least three written bids, proposals or quotes.

C. Award of Contract. Contracts awarded pursuant to this section shall be awarded based on vendor qualifications, experience, responsiveness of the bid, proposal or quote, and such other criteria as established by the purchasing agent and set forth in the purchasing manual.

D. Written Bids. All written bids, proposals, and quotes received shall be submitted to the purchasing agent who shall keep a record of all informally bid orders and bids, proposals, and quotes received in accordance with the city's records retention schedule. This record, while so kept, shall be open to public inspection.

(Ord. No. 905, § 1, 6-8-21; Ord. No. 938, § 6, 4-8-25)

Except as otherwise set forth in this chapter, purchases of materials, supplies, equipment, and services involving an expenditure of more than seventy-five thousand dollars shall be made in accordance with the following formal bidding procedures:

A. Request for Proposals. A request for proposals or similar document shall be used. Requests for proposals shall specify the deadline and place for submission, the nature of the materials, supplies, equipment or services required, and the selection criteria to be used for awarding the contract.

B. Public Notice of Request for Proposals. The request for proposals shall be published at least once in a newspaper of general circulation at least ten days before the proposal submission deadline and posted on the city's website for at least ten days prior to the proposal submission deadline. The city may, in its discretion, provide such additional notice as it deems proper.

C. Award of Contract. Except as otherwise provided in this chapter, the city council shall award a contract subject to the requirements of this section based on vendor qualifications and experience and responsiveness of the proposal, in addition to any other criteria set forth in the request for proposals.

D. Rejection of Proposals. The city manager may, upon the recommendation of the purchasing agent, reject any and all proposals submitted and may, in his/her discretion, direct the re-advertisement of the request for proposals.

(Ord. No. 905, § 1, 6-8-21; Ord. No. 938, § 7, 4-8-25)

In the event of an emergency, as defined by Section 2.65.070 herein, the city manager may authorize the purchasing agent, in writing, to issue a purchase order in the amount necessary to cover the quantity of material or the services which are immediately required for the emergency. The city manager is authorized to execute any contracts necessary in connection with such purchase orders. In the event an emergency purchase exceeds the city manager's contract authority set forth in this chapter, the purchase order and/or contract shall be submitted to the city council for ratification at its next properly noticed meeting.

(Ord. No. 905, § 1, 6-8-21)

A. For purchases of materials, supplies, equipment and services involving the expenditure of up to seventy-five thousand dollars, the city shall extend a bidding advantage to Blythe vendors in the form of five percent in the evaluation of bids, proposals, or quotes when the city purchases materials, supplies, equipment, or services. A "Blythe vendor" is a business entity with one or more fixed locations and/or locally taxable distribution points within the boundaries of the City of Blythe which holds a current and valid city business license with a Blythe street address.

B. In order for the preference to apply, the bidder or proposer must certify under penalty of perjury that the bidder or proposer qualifies as a Blythe vendor. The preference shall be waived if the certification does not appear on the bid or proposal.

(Ord. No. 905, § 1, 6-8-21; Ord. No. 938, § 8, 4-8-25)

A. Statement of Policy. City employees shall discharge their duties impartially so as to ensure fair competitive access to city procurement opportunities by responsible vendors and contractors. Moreover, they shall conduct themselves in such a manner as to foster public confidence in the integrity of city procurement activities.

B. Gratuities. No person shall offer, give or agree to give any city employee any gratuity or offer of employment in connection with a procurement by the city. The purchasing agent and every officer and employee of the city are expressly prohibited from soliciting, demanding, accepting, directly or indirectly, or agreeing to accept, from any person, company, firm or corporation to which any purchase order or contract is, or might be awarded, any gratuity, offer of employment or anything of value whatsoever in connection with a procurement by the city.

(Ord. No. 905, § 1, 6-8-21)

Pursuant to SB 1383 Regulations, commencing January 1, 2022, city departments, and suppliers and service providers to the city, as applicable, must comply with the city's recovered organic waste product procurement policy and recycled-content paper procurement policy. As used herein, "SB 1383 Regulations" shall have the meaning set forth in Chapter 8.26 (Mandatory Organic Waste Disposal Reduction) of this code.

(Ord. No. 912, § 4, 11-9-21)

A. Definition. As used in this section, "surplus property" means personal property purchased with public funds, such as supplies, materials, equipment, and vehicles, which has become obsolete or worn out or is no longer needed or useable by any city department.

B. Sale of Surplus Property. With the approval of the city manager, the purchasing agent may cause the sale or disposition of surplus property in the open market by public auction, through electronic auctions or sales including internet-based marketplaces, by consignment, by competitive sealed bids, by negotiated sale, or by exchange or trade in for new goods. The purchasing agent may also transfer any surplus property to another governmental agency, or a civic, charitable or educational institution by negotiated sale or exchange. The purchasing agent shall select the method of sale or disposition that is in the best interest of the city. City council approval shall be required if the surplus property to be sold, exchanged, or traded in has an estimated value of more than the amount established as the city manager's contract approval authority.

C. Surplus Property with No Commercial Value. Except as otherwise prohibited by applicable law, the city manager may authorize the destruction or disposal of surplus property which has no commercial value or which will require an expenditure of funds for continued care, handling, maintenance or storage which exceeds the estimated proceeds of sale.

D. Donation of Surplus Property. City council approval shall be required for any donation of surplus property.

E. Purchase of Surplus Property by City Employees. City officers and employees shall only be eligible to bid on and/or purchase surplus property in accordance with the purchasing manual.

F. Records. The purchasing agent shall keep complete records of all surplus property sold, exchanged, traded in, disposed of or donated pursuant to this section.

(Ord. No. 921, § 2, 4-25-23; Ord. No. 938, § 9, 4-8-25)