Imperial Municipal Code § 2-60 Adoption of Procurement System

In order to establish efficient procedures for the purchase of materials, supplies, equipment, and services at the lowest possible costs commensurate with operational needs, to provide methods of determining and awarding contracts for services to be performed, to exercise positive financial control over such purchases and contracts and to define clearly the authority for the administration of these functions, a procurement system is adopted pursuant to Government Code Sections 54201, et seq.

The director of finance, or the alternative such other person as may be designated in writing by the city manager, shall be and is appointed to perform the functions of the purchasing officer for the city and shall have the responsibility and authority to:

A) Purchase or contract for materials, supplies, equipment, and services to be performed as may be required by any department or other agency of city government in accordance with procedures prescribed of this article or by such administrative rules and regulations as the purchasing officer may adopt pursuant thereto;

B) Prepare and adopt administrative rules and regulations not in conflict with the provisions of this article for the purpose of carrying out the requirements and intent of this purchasing system.

a) To the extent that quality, quantity and availability may best be achieved in meeting the operational needs of the city all purchases and the award of contracts for services as may be required for any department or agency shall be centralized under the purchasing officer.

b) When the provisions and intent of this article may best be served by so doing, the purchasing officer may authorize in writing any department or agency to investigate, solicit bids or negotiate the purchase or award of contract for materials, supplies, equipment or services for the department of agency independently of the centralized procurement system, provided that such shall be done in conformity with the procedures prescribed by this article or by duly adopted administrative rules and regulations pertaining thereto.

a) Purchase of materials, supplies, equipment or services shall be made only by means of purchase orders processed and issued pursuant to this article. The purchase orders shall be valid only when signed by the city manager, the purchasing officer or other persons as may be designated by the purchasing

IMPERIAL CITY CODE CHAPTER 2 - ADMINISTRATION

officer to act in his behalf. The city manager may exempt purchases of one
hundred dollars or less from the requirement of this section.

b) All purchase orders shall be issued in advance of any commitment for which they
are issued except in emergency situations where a delay would be detrimental to
the interest of the city or would jeopardize the health, safety or welfare of its
citizens.

c) Nothing herein shall preclude the use of authorized petty cash funds for purposes
intended by their establishment.

The purchasing officer shall not issue any purchase order or award any contract for the acquisition of materials, supplies, equipment or services unless there exists an unencumbered appropriation in the funds and for the account or activity against which said purchase order or contract is to be charged. The appropriate account and funds shall be encumbered immediately after the issuance of the purchase order or award of contract.

a) In all instances where the acquisition of material, supplies, equipment or services will result in the issuance of a purchase order or the award of a contract for greater than ten thousand dollars, such will be authorized only on action taken by the city council utilizing the formal bidding process set forth herein. Purchases or contracts for ten thousand dollars or less, may be awarded by the city manager utilizing any competitive purchase procedure deemed appropriate by the city manager, but which shall, at minimum, involve contacting at least three vendors for informal quotes.

b) The purchasing officer may award contracts or issue purchase orders for the
acquisition of materials, supplies, equipment or services when the estimated
amount is less than five thousand dollars; provided, however, that either the
formal or informal bidding procedure as hereinafter set forth is utilized for all
estimated amounts in excess of five hundred dollars.

c) Notwithstanding the other provisions of this article and more particularly this
section, the purchasing officer shall be authorized to issue purchase orders and
otherwise process for payment those claims against the city where a reasonable
advance estimate of costs is not possible or for essential services of a recurring
nature. Included but not limited to this authorization are such items as utility
service for telephone, water, electricity and gas, approved claims for liability
under the city’s insurance program, renewal premiums for authorized insurance
policies, all expenditures for the city’s payroll and employee withholdings and
other related or unrelated matters involving this unknown advance cost estimate.

2-60.6 Formal bidding

IMPERIAL CITY CODE CHAPTER 2 - ADMINISTRATION

Except for personal service contracts or as otherwise provided herein, purchases and contracts for an estimated value of greater than ten thousand dollars shall be by written contract with the lowest responsible bidder pursuant to the procedure hereinafter described:

a) Notices inviting bids shall be prepared, distributed to known suppliers or persons
who have requested to be notified of such bidding opportunities and to those who
in the opinion of the purchasing officer are best able to perform according to
prescribed specifications. The notices shall contain a general description of the
articles or services to be obtained, shall state where bid blanks and specifications
may be secured, and the time and place for opening bids.

b) The purchasing officer, in his or her discretion, may require a bidder’s security in
the form of a bond, certified check, cashier’s check or money order in such
amount deemed appropriate by the purchasing officer. Bidders shall be entitled to
return of bid security; provided, that the successful bidder shall forfeit his bid
security upon refusal or failure to execute the contract within ten days after notice
of award of contract has been mailed, unless the city is responsible for the delay.

c) On refusal or failure of the successful bidder to execute the contract, award may
be made to the next lowest responsible bidder and if such is done, the amount of
the lowest bidder’s 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.

d) Sealed bids shall be submitted to the city clerk 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.

e) In its discretion, the city council may reject any and all bids presented and re-
advertise for bids.

f) Contracts shall be awarded by the city council to the lowest responsible bidder
except as otherwise provided herein.

g) In determining who prevails as the lowest responsible bidder, the city shall
consider the following factors: receipt of sales tax by the city; ease of selection;
pick-up and delivery speed; and availability and promptness of source and
maintenance.

h) Invitations to submit proposals shall be used for personal services contracts
whenever the contract is expected to exceed ten thousand dollars. Qualifications
to accomplish the specific service shall be the determining factor when awarding
the contract.

IMPERIAL CITY CODE CHAPTER 2 - ADMINISTRATION

Materials, supplies, equipment or services may be acquired by the purchasing officer without regard to formal bidding procedures set forth herein when the estimated value is greater than five hundred dollars and less than five thousand dollars. For all such acquisitions, at least three price quotations shall be solicited either orally or in writing whenever practicable with the purchase order being issued to the lowest responsible bidder. The purchasing officer may reject any and all quotations. Personal services contract awards shall be on the basis of qualifications to accomplish the specific service requested by the city.

There is excepted from the provisions of this article purchases or acquisitions of materials, supplies, equipment or services obtained from any other public agency created under the laws of the state or the United States government, including the purchase of federal surplus property.

Where another public agency of the state of California allows other public agencies to acquire materials, supplies, equipment or services through its procurement process, the city may utilize such procurement services to acquire materials, supplies, equipment or services without further compliance with the provisions of this article.

The purchase of used equipment shall be excepted from the provisions of this article when the city council authorizes specific used equipment to be acquired. (Ord 730)

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