Coalinga Municipal Code Art. 6 Purchasing Agent and System

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Editor's note— Ord. No. 742, § 1, adopted Oct. 2, 2008, effective Nov. 2, 2008, amended Art. 6 in its entirety to read as herein set out. Former Art. 6, §§ 2-4.601—2-4.603, pertained to similar subject matter, and derived from Ord. No. 580, § 1, effective March 9, 1991.

The City Purchasing Agent shall be the City Manager and/or his agent. Unless otherwise designated by the City Manager and except as to public works projects, the director of finance shall be the purchasing officer and shall have the general responsibility for purchases of supplies and services for the use of all departments of the city.

(Ord. No. 742, § 1, eff. November 2, 2008)

The purchasing policies and procedures for the City shall be established and administered by the Purchasing Agent. The purchasing policies and procedures shall include quotation and bidding regulations governing the purchase of goods or services. These purchasing policies and procedures shall include, but not be limited to, all applicable federal and state statutes.

(Ord. No. 742, § 1, eff. November 2, 2008)

The purchasing limits of the Purchasing Agent and limits requiring City Council approval or ratification shall be determined by resolution of the City Council adopted from time to time.

(Ord. No. 742, § 1, eff. November 2, 2008)

(a) Upon receipt of a properly prepared requisition and provided the total purchase price of the services or supplies identified in the requisition is twenty thousand dollars ($20,000.00) or less, so long as budgeted funds are available, the purchasing officer is authorized to order, by issuance of a purchase order, the services or supplies identified in the requisition. The provisions of this section shall not apply to purchases of fuels, bituminous materials, and aggregate base for street purposes and related delivery costs provided that any purchase shall not exceed the sum of thirty thousand dollars ($30,000.00).

(b) It shall be the duty of each department to use its best efforts to secure the lowest price for such services and supplies. The department may request bids from vendors, either verbally or in writing, or may give notice to vendors by one (1) publication in a newspaper published in the City. In all cases, the City shall have the right to determine whether the bids from the vendors for the supplies or services requested actually meet announced specifications. The City shall have the right to waive any minor informality or minor irregularity in a bid.

(Ord. No. 742, § 1, eff. November 2, 2008; Ord. No. 814, § 1, eff. 8-2-2018; Ord. No. 869, § 1, eff. 9-19-2024)

Whenever any department requests the purchase of supplies or services, it shall submit to the purchasing officer a department requisition on a form provided by the purchasing officer. All department requisitions shall bear the approving signature of the department head or his/her designated representative and shall specifically describe the services or supplies and the kind and quantity desired. A department requisition may also specify the brand or make of the supplies to be purchased.

(Ord. No. 742, § 1, eff. November 2, 2008)

(a) When the purchasing officer makes a purchase, he shall issue and sign a City purchase order, which shall be addressed to the supplier, dated and numbered, and shall specify the supplies or services to be purchased, the price, and the place and to whom the delivery of the supplies shall be made or for whom the services shall be rendered.

(b) The original copy of the City purchase order shall be delivered to the supplier, a copy shall be maintained by the purchasing officer, and a receiving copy shall be delivered to the department making the purchase. Upon receipt of the services or supplies specified, the receiving copy shall be signed by a representative of the department head making the purchase to acknowledge the receipt of supplies or services.

(c) Any City employee who signs an acknowledgment of receipt shall have personal knowledge of what was received by examining such supplies or observing the rendering of such services and shall not accept supplies or services which do not meet the specifications identified in the City purchase order.

(Ord. No. 742, § 1, eff. November 2, 2008)

(a) The purchase of supplies or services of an estimated value of twenty thousand dollars ($20,000.00) or less may be made in the open market without prior authorization from the City Council, so long as budgeted funds are available.

(b) Each purchase shall be based on at least three (3) quotations or bids, whenever possible, obtained by the department initiating the purchase. Purchases will be made from the lowest responsible bidder.

(c) Each department may solicit bids in the manner described in subsection (b) above or by any other method common in the industry. Each department shall keep a record of all quotations and bids submitted for a period of one (1) year from the date of the bid.

(Ord. No. 742, § 1, eff. November 2, 2008; Ord. No. 814, § 2, eff. 8-2-2018; Ord. No. 869, § 2, eff. 9-19-2024)

Purchases exceeding twenty thousand dollars ($20,000.00) may be made either on an informal basis or on a formal competitive basis as identified below. In either case, however, the decision as to the acceptance or rejection of any bid shall be the responsibility of the City Council. The provisions of this section shall not apply to the purchase of fuels, bituminous materials, and aggregate base for street purposes and related delivery costs provided that any such purchase shall not exceed the sum of thirty thousand dollars ($30,000.00).

(a) Informal basis. The procedure for purchases on an informal basis shall be in accordance with the provisions of subsections (b) and (c) of Section 2-4.607 of this chapter with subsequent acceptance or rejection by the Council of any bids received.

(b) Formal competitive basis. The procedure for purchases on a formal competitive basis shall be as follows:

(1) A notice inviting bids shall be published in a newspaper of general circulation within the City by one (1) or more insertions, the first of which shall be at least seven (7) days before the date for opening bids.

(2) The notice inviting bids shall identify the amount of the bid security which must accompany the bid proposal. Bidders shall be entitled to the return of bid security provided, however, a successful bidder shall forfeit its bid security upon its refusal or failure to execute the City's contract for the purchase of the services or supplies within ten (10) days after the award of the bid has been approved by the Council. The Council may, on refusal or failure of the successful bidder to execute the city's contract, award the contract to the next lowest responsible bidder. If the Council awards the contract to the next lowest bidder, the amount of the lowest bidder's bid security shall be applied by the City to the difference between the low bid and the second lowest bid, and the surplus, if any, shall be returned to the lowest bidder.

(3) All bids shall be delivered in a sealed envelope to the purchasing officer, or his/her designated representative, no later than the designated time for the opening of bids as identified in the notice inviting bids. The purchasing officer shall be custodian of such bids, and shall keep the same confidential until they are opened and declared.

(4) All bids received shall be publicly opened and declared at the time and at the place identified in the notice inviting bids.

(5) Thereafter, the bids shall be tabulated and analyzed by the purchasing officer, who shall submit them, together with recommendations thereon, to the Purchasing Agent and the City Council at the next regular meeting of the Council.

(6) The Council shall have the right to waive any minor informality or minor irregularity in a bid.

(7) Contracts awarded by the Council shall be awarded to the lowest responsible bidder, except as otherwise provided in this chapter.

(8) In its discretion, the Council may reject all bids presented. The Council may then readvertise for bids or authorize the department making the purchase to proceed with the purchase of the supplies or services on an informal basis pursuant to subsection (a) of this section, subject to final approval of the purchase by the Council.

(9) The City may require that any person or entity who may provide services to the City post a performance bond with the City prior to the City's execution of the city contract for the services, in such an amount as the Council may find reasonably necessary to protect the interests of the city. If the Council requires a performance bond, the form and amount of the bond shall be described in the notice inviting bids.

(10) The provisions of this section shall not apply to work performed by the City with its own personnel and/or equipment or to materials, supplies or equipment obtained or purchased from any other governmental agency.

(Ord. No. 742, § 1, eff. November 2, 2008)

The use of vendors who have a fixed business location within the City limits provides certain benefits to the City and its citizens, including, without limitation, the following:

(a) Receipt of sales tax revenue from sales made within the City limits;

(b) Cost savings resulting from local maintenance, repair, pick-up and delivery;

(c) Use of the local labor force.

Therefore, except in public works projects or other projects where the City is required to award a bid or contract to the lowest bidder, the City may allow the following preferences to vendors having a fixed business location within the City limits. If the City receives two (2) or more bids for the same price with all other factors being equal, the City may award the contract to the vendor having a fixed business location within the City limits as long as the cost differential is at least three (3) percent. If the City receives two (2) or more bids with all factors being equal except price, an adjustment of three (3) percent of the quoted price may be afforded to the local vendor having a fixed business location and a business license within the City limits.

(Ord. No. 742, § 1, eff. November 2, 2008)