Goleta Municipal Code Art. III Public Work Projects

The City Council has elected to become subject to the Uniform Construction Cost Accounting Procedures as established by the California Uniform Construction Cost Accounting Commission.

(Ord. 09-12 § 3; Ord. 20-06 § 1; Ord. No. 24-07, 12/17/2024)

A. A public project with an estimated value of $75,000.00 or less may be performed by City employees by force account, by negotiated contract, or by purchase order.

B. A public project with an estimated value of $220,000.00 or less may be let to contract by informal bid procedures as set forth in this chapter.

C. A public project of more than $220,000.00 shall, except as otherwise provided in this chapter, be let to contract by formal bidding procedure as set forth in this chapter.

The described project costs limits of subsections A through C in this section shall be increased automatically without City Council action to amend this section pursuant to the adjustments made by the California Uniform Construction Cost Accounting Commission under Section 22020 of the Public Contract Code.

(Ord. 09-12 § 3; Ord. 20-06 § 1; Ord. No. 24-07, 12/17/2024)

At the earliest point practicable but prior to award of projects pursuant to Section 3.05.170(B) and (C), the City Council shall approve and adopt the plans, specifications and working details.

(Ord. 09-12 § 3; Ord. 20-06 § 1; Ord. No. 24-07, 12/17/2024)

A. For those projects qualifying under subsection A of Section 3.05.170, the project manager shall obtain a cost estimate from the project engineer or architect prior to issuing a purchase order or negotiating a contract with a responsible contractor. For any City force account work, the project manager shall first comply with the guidelines established by the California Uniform Construction Cost Accounting Commission in determining the cost of the public work.

B. The City Manager shall have the authority to award and to execute any contract for the public work qualifying under subsection A of Section 3.05.170.

(Ord. 09-12 § 3; Ord. 20-06 § 1; Ord. No. 24-07, 12/17/2024)

For those projects which qualify under subsection B of Section 3.05.170 for informal bidding, the following procedures shall be used:

A. Bidder List. The City shall maintain a list of qualified contractors, identified according to categories of work. Minimum criteria for development and maintenance of the contractors list shall be consistent with the State Uniform Construction Cost Accounting rules.

B. Notice. Unless the product or service is proprietary, all contractors on the City's list for the category of work being bid shall be sent a notice inviting informal bids, or a notice inviting informal bids shall be sent to all construction trade journals specified in this section, or both such notices. The trade journals shall be those identified by the California Uniform Construction Cost Accounting Commission as appropriate for this area.

C. Bidder's Security/Failure to Sign Contract. Bidder's security shall be prescribed in the notice inviting bids in an amount equal to 10% of the amount bid. Bidder's security shall be either a cash deposit with the City, a cashier's or certified check, payable to the City, or a bidder's bond. Unsuccessful bidders shall be entitled to the return of bid security within 60 days of the date of the award. However, the lowest responsive and responsible bidder shall forfeit all or part of his or her bid security, as may be determined by the City Council, upon the bidder's refusal or failure to execute the contract within 10 days after the date of the award of the contract. On the refusal or failure of the lowest responsive and responsible bidder to execute the contract, the Council may award the contract to the next lowest responsible bidder.

D. Minimum Time Period. All notices to contractors and the construction trade journals pursuant to subsection B of this section shall be completed not less than 10 calendar days before bids are due.

E. Notice Contents. The notice inviting informal bids shall describe the project in general terms, how to obtain more detailed information about the project, and state the time and place for the submission of bids.

F. Performance/Labor/Materials Bonds. A labor and materials bond, plus a performance bond shall be required, from a surety company acceptable to City, in amounts equivalent to the total contract amount.

G. Bid Opening Procedure. Sealed bids shall be submitted as described in the notice inviting bids. Bids shall be opened at the time and place stated in the notice inviting bids. A record and tabulation shall be made at that time of all bids received and shall be open for public inspection during regular business hours for a period of one year after the bid opening. The project manager shall make an analysis of the bids for compliance with bid specifications and, thereafter, make a recommendation for award or rejection. Such recommendation shall be made available for all bidders.

H. Public Access. The submitted bid packages shall be considered public records available for inspection at the time a recommendation for award or rejection is made. Disclosure of the information prior to a recommendation for award or rejection may prejudice the public interest if it is necessary to rebid the project.

I. Protest. Any party may lodge a protest to the award of a contract. Such a party shall have the opportunity to present information in support of their position to the awarding authority prior to the award of the contract. If any party fails to appear and present information prior to the award of the contract, they shall be deemed to have waived their right to protest the award of the contract.

J. Award. The City Council shall award the contract or reject the bids, or it may delegate this authority to the City Manager or other appropriate person. The Council may waive minor bid irregularities.

K. Bids in Excess of Statutory Amount. If all bids received are over $220,000.00, the City Council may by passage of a resolution by a four-fifths vote, award the contract up to $233,750.00 to the lowest responsible bidder if it determines the cost estimate of the City was reasonable.

(Ord. 09-12 § 3; Ord. 20-06 § 1; Ord. No. 24-07, 12/17/2024)

For those projects requiring formal bidding under Section 3.05.170(C), the following procedures shall be used:

A. Authorization. The City Council shall authorize all requests for formal bids prior to publication of a notice inviting bids.

B. Publication. A notice shall be published at least once 14 calendar days before the date of opening the bids in a newspaper of general circulation, printed and published in the jurisdiction of the City. The notice inviting formal bids shall also be sent electronically to all construction trade journals specified by the California Uniform Construction Cost Accounting Commission as appropriate for the area. The notice shall be sent at least 15 calendar days before the date of opening the bids. The notice inviting formal bids shall state the time and place for the receiving and opening of sealed bids and distinctly describe the project. In addition to notice required by this section, the City may give such other notice as it deems proper.

C. Bidder's Security. Bidder's security/failure to sign contract. Bidder's security shall be prescribed in the notice inviting bids in an amount equal to 10% of the amount bid. Bidder's security shall be either a cash deposit with the City, a cashier's or certified check, payable to the City, or a bidder's bond. Unsuccessful bidders shall be entitled to the return of bid security within 60 days of the date of the award. However, the lowest responsive and responsible bidder shall forfeit all or part of his or her bid security, as may be determined by the City Council, upon the bidder's refusal or failure to execute the contract within 10 days after the date of the award of the contract. On the refusal or failure of the lowest responsive and responsible bidder to execute the contract, the Council may award the contract to the next lowest responsible bidder.

D. Bid Opening Procedure. Sealed bids shall be submitted as described in the notice inviting bids. Bids shall be opened at the time and place stated in the notice inviting bids. A record and tabulation shall be made at that time of all bids received and shall be open for public inspection during regular business hours for a period of one year after the bid opening. The project manager shall make an analysis of the bids for compliance with bid specifications and, thereafter, make a recommendation for award or rejection. Such recommendation shall be made available for all bidders.

E. Public Access. The submitted bid packages shall be considered public records available for inspection at the time a recommendation for award or rejection is made. Disclosure of the information prior to a recommendation for award or rejection may prejudice the public interest if it is necessary to rebid the project.

F. Protest. Any party may lodge a protest to the award of a contract. Such a party shall have the opportunity to present information in support of their position to the awarding authority prior to the award of the contract. If any party fails to appear and present information prior to the award of the contract, they shall be deemed to have waived their right to protest the award of the contract.

G. Award of Contracts/Minor Irregularities. Contracts shall be awarded by the Council to the lowest responsive and responsible bidder whose bid fulfills the purpose intended, according to criteria designated in the solicitation and, provided, the award amount is within the unencumbered appropriation for that item. The Council may waive minor bid irregularities.

H. 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 or re-advertising for bids, the Council may accept either bid.

I. Performance/Labor/Materials Bonds. A labor and materials bond, plus a performance bond shall be required, from an acceptable surety, in such amounts and in such a form as the City finds reasonably necessary to protect the public interest or as required by law.

J. No Bids. If no bids are received, the project may be performed by City employees by force account, or by informal bidding procedures without further complying with this chapter.

(Ord. 09-12 § 3; Ord. 20-06 § 1; Ord. No. 24-07, 12/17/2024)

In its discretion, the City Council may reject all bids presented. If after the first invitation for bids, all bids are rejected, the City shall state the reasons for the rejection. The City shall have the option of either of the following:

A. Abandoning the project or re-advertising for bids in the manner described by this chapter.

B. By passage of a resolution by a four-fifths vote of the City Council declaring that the project can be performed more economically by City employees, may have the project done by force account without further complying with this chapter.

(Ord. 09-12 § 3; Ord. 20-06 § 1; Ord. No. 24-07, 12/17/2024)

Public work contracts shall not be knowingly staged or separated into smaller units or segments for the purpose of evading the competitive bidding requirements of this chapter.

(Ord. 09-12 § 3; Ord. 20-06 § 1; Ord. No. 24-07, 12/17/2024)

The procedures set forth herein shall apply in the absence of contrary procedures established in the specifications for a project:

A. Filing a Bid Protest. A bidder on a City public works project or any other interested person may object, by following the procedure provided in this section, to the award of the contract for the project to the person or entity that submitted the low bid based on grounds that the bid is not responsive or that the low bidder is not responsible.

1. The apparent low bidder on a City public works project may object, by following the procedure provided in this section, to the City staff's determination that its bid is not responsive or that it is not a responsible bidder.

2. A bid protest shall be filed in writing with the City Clerk and shall set forth the reasons for the objection. Any documents which support the objection must be filed together with the protest.

3. A bid protest shall be filed with the City Clerk no later than 72 hours after the opening of the bids.

4. A bid protest shall be filed with the City Clerk no later than 72 hours after city staff informs the apparent low bidder by email that it intends to recommend that its bid be rejected and the contract awarded to another bidder.

B. Notice of Hearing of Protest.

1. Upon receipt of a protest challenging a low bidder pursuant to subsection (A)(1) of this section, the City Clerk shall mail or email a copy of the protest to the low bidder, together with any supporting documents filed with the protest, along with a statement advising the low bidder of the date, time, and place when and where the City Council will meet to consider the bids received in connection with the project. The notice shall advise the low bidder that it may appear at the City Council meeting and that it will be given an opportunity at that meeting to rebut the charges made in the protest. The City Clerk shall also notify the person who protested the award of the contract, advising of the date, time, and place the City Council will meet to consider the bids and the protest. Multiple protests will be consolidated and considered concurrently.

2. Upon receipt of a protest by an apparent low bidder challenging the staff's determination that its bid is not responsive or that it is not responsible pursuant to subsection (A)(2) of this section, the City Clerk shall mail or email a letter advising the apparent low bidder of the date, time, and place the City Council will meet to consider the bids received in connection with the project and advising the apparent low bidder that it may appear at the City Council meeting and that it will be given an opportunity at that meeting to rebut the staff's determination that its bid is not responsive or that it is not a responsible bidder.

C. Hearing the Bid Protest. At the hearing, the City Council shall follow the following procedure:

1. At the time set for consideration of the bids received in connection with the project, the City Council shall first hear a staff report.

2. Following the staff presentation, in the case where another bidder or interested person is protesting the low bid, the City Council will allow the protester to make its presentation, and then the Council will allow the low bidder to rebut the arguments and evidence produced by the protester.

3. In the case where staff is recommending rejection of an apparent low bid, the apparent low bidder will be allowed to present evidence rebutting the staff's recommendation.

4. The City Council may, in its discretion, permit rebuttals and surrebuttals by the parties. The City Council is not required to abide by formal rules of evidence.

5. At the conclusion of the hearing, the City Council will decide which bidder is the lowest responsive and responsible bidder based on the evidence produced at the hearing and award the contract to that bidder or, alternatively, exercise its right to reject all bids.

6. In deciding whether a bid is responsive, the City Council must determine that the bid is complete, responsive to the bid instructions and does not contain any nonwaivable defects. In deciding whether a bidder is "responsible," the City Council must consider the bidder's trustworthiness, and the quality, fitness and capacity of the bidder to satisfactorily perform the work required to be performed for the project. Evidence of pervasive and significant violations of the prevailing wage laws of the State of California by the bidder on a City project or on public works projects involving other public agencies must warrant a finding by the City Council that the bidder is not responsible.

(Ord. 20-06 § 1; Ord. No. 24-07, 12/17/2024)