Mission Viejo Municipal Code Ch. 3.12 Purchases

Footnotes:

--- (3) ---

State Law reference— City to adopt purchasing policies and procedures, Government Code § 54202.

In order to establish efficient procedures for the purchase of supplies and equipment at the lowest possible cost commensurate with quality needs, to exercise positive financial control over purchases, to clearly define authority for the purchasing function, and to assure the quality of purchases, a purchasing system is adopted.

(Code 1988, § 3.12.010)

The procedures established by this chapter shall apply only to the purchase of supplies, equipment and services, and shall not apply to public projects as defined in Public Contracts Code § 20161.

(Code 1988, § 3.12.020)

There is created a centralized purchasing division in which is vested authority for the purchase of supplies and equipment.

(Code 1988, § 3.12.030)

There is created the position of purchasing agent, who may also be known as the purchasing officer. The purchasing agent shall be the head and have general supervision of the purchasing division. The duties of purchasing agent may be combined with those of any other office or position. The purchasing agent shall have the authority to:

(1) Purchase or contract for supplies and equipment required by any using agency in accordance with purchasing procedures prescribed by this chapter, such administrative regulations as the purchasing agent shall adopt for the internal management and operation of the purchasing division and such other rules and regulations as shall be prescribed by the city council or the city manager.

(2) Negotiate and recommend execution of contracts for the purchase of supplies and equipment.

(3) Act to procure for the city the needed quality in supplies and equipment at least expense to the city.

(4) Discourage uniform bidding and endeavor to obtain as full and open competition as possible on all purchases.

(5) Prepare and recommend to the city council rules governing the purchase of supplies and equipment for the city.

(6) Prepare and recommend revisions and amendments to the purchasing rules.

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

(8) Prescribe and maintain such forms as are reasonably necessary for the operation of this chapter and other rules and regulations.

(9) Supervise the inspection of all supplies and equipment purchased to insure conformance with specifications.

(10) Recommend the transfer of surplus or unused supplies and equipment between departments as needed.

(11) Maintain an approved vendors list, vendors catalog file and records needed for the efficient operation of the purchasing division.

(Code 1988, § 3.12.040)

The purchasing agent shall be responsible for determining that the regulations and procedures in sections 3.12.060 through 3.12.120 are carried out.

(Code 1988, § 3.12.050)

The city manager may authorize, in writing, any department to purchase specified supplies and equipment independent of the purchasing agent; but he shall require that such purchases be made in conformity with the procedures established by this chapter and shall further require periodic reports from the department on the purchases made under such written authorization.

(Code 1988, § 3.12.060)

All using departments shall file detailed estimates of their requirements in supplies and equipment in such manner, at such time, and for such future periods as the purchasing agent shall prescribe.

(Code 1988, § 3.12.070)

Using departments shall submit requests for supplies and equipment to the purchasing agent by standard requisition form, or by other means as may be established by the purchasing rules and regulations.

(Code 1988, § 3.12.080)

Purchases of supplies and equipment shall be made by purchase orders, procurement cards, or other acceptable purchasing method(s) within the purchasing agent's authority. Except as otherwise provided herein, no purchase order shall be issued unless the prior approval of the purchasing agent or his designated representative has been obtained.

(Code 1988, § 3.12.090; Ord. No. 06-240, § 1, 4-3-06)

Except in cases of emergency, the purchasing agent shall not issue any purchase order for supplies or equipment unless there exists an unencumbered appropriation in the fund account against which such purchase is to be charged.

(Code 1988, § 3.12.100)

The purchasing agent or designee shall, in his discretion, inspect supplies and equipment delivered to determine their conformance with the specifications set forth in the order. The purchasing agent or designee 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.

(Code 1988, § 3.12.110; Ord. No. 06-240, § 2, 4-3-06)

Purchases of supplies and equipment shall be by bid procedures pursuant to sections 3.12.130 through 3.12.280. Bidding may be dispensed with only under conditions stated in section 3.12.290.

(Code 1988, § 3.12.120)

Except as otherwise provided herein, purchases of supplies and equipment of an estimated value that conforms to the amount established by resolution of the city council shall be awarded to the lowest responsible bidder pursuant to the formal bid procedures hereinafter prescribed. In recognition of the complex and technical nature of supplies and equipment the city requires and the wide variations in options and cost factors affecting the purchase of supplies and equipment, the city council may, in the notice inviting formal bids, set forth the criteria to be used by the city council in determining the lowest responsible bidder. Such criteria may include:

(1) The extent to which the bid meets the needs of the city for the equipment or supplies;

(2) The quality of the equipment or supplies proposed;

(3) The overall cost to the city of the bid, including, but not limited to, pricing of the equipment or supplies, delivery schedule, terms of payment, warranties, maintenance requirements, and required site preparation;

(4) The experience and qualifications of vendor submitting a bid to successfully meet the requirements for the equipment or supplies;

(5) Previous performance of the vendor submitting a bid in providing similar equipment or supplies;

(6) Financial ability of the vendor submitting the bid to provide the equipment or supplies to the city;

(7) Vendor's conformity to the specifications for the equipment or supplies set forth in the notice inviting bids;

(8) Such similar factors as may be specifically included in the notice inviting bids.

(Code 1988, § 3.12.130; Ord. No. 97-162, § 1, 2-24-97; Ord. No. 07-256, § 2, 8-20-07)

Notices inviting formal bids shall include a general description of the article or service desired, shall state where bid documents and specifications may be secured, and the time and place for opening bids.

(Code 1988, § 3.12.140)

(a) Notices inviting formal bids for public projects shall be published once in a newspaper of general circulation in the city at least 14 days prior to the date of opening of the bids. The notice inviting formal bids shall also be mailed to all construction trade journals at least 30 calendar days before the date of opening of the bids.

(b) Notices inviting formal bids for nonpublic projects shall be published once in a newspaper of general circulation in the city at least 14 days prior to the date of opening of the bids.

(Code 1988, § 3.12.150; Ord. No. 2001-208, § 1, 11-19-01; Ord. No. 06-240, § 3, 4-3-06)

The purchasing agent or designee may also solicit formal sealed bids from responsible suppliers whose names are on the approved vendors list, or who have made written request that their names be added thereto.

(Code 1988, § 3.12.160; Ord. No. 2001-208, § 2, 11-19-01)

The purchasing agent or designee shall advertise all pending formal purchases by posting a notice on the city's website, and a notice directing interested bidders to the city's website shall be posted on the public bulletin board at the city offices.

(Code 1988, § 3.12.170; Ord. No. 2001-208, § 3, 11-19-01)

Where deemed necessary by the purchasing agent or designee, formal bids shall be accompanied by security, either cash, cashier's check, certified check or surety bond, in a sum equal to ten percent of the total aggregate of the bid, and shall be designated in the notice inviting bids. Bidders shall be entitled to return of bid security; provided, however, that a successful bidder shall forfeit his bid security upon his refusal or failure to execute the contract within ten days after the notice of award of contract has been mailed, unless 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 who is willing to execute the contract, or may reject all bids and readvertise.

(Code 1988, § 3.12.180; Ord. No. 06-240, § 4, 4-3-06)

A faithful performance bond and labor and material bond shall be required for all public projects, unless waived by the city council, in an amount reasonably necessary to protect the best interests of the city. In addition, the city council shall have authority to require a faithful performance bond or other bonds before entering into a contract other than a public project contract. If bonds are required, the form and amount thereof shall be designated in the notice inviting bids.

(Code 1988, § 3.12.190)

Sealed bids shall be submitted to the purchasing agent, or designee, and shall be identified as "bids" on the envelope. The city clerk, or designee, shall publicly open all bids at the time and place stated in the public notices. A tabulation of all bids received shall be available for public inspection in the office of the purchasing agent or designee during regular business hours for a period of not less than 30 calendar days after the bid opening.

(Code 1988, § 3.12.200; Ord. No. 2001-208, § 4, 11-19-01)

In its discretion, the city council may reject any and all bids presented and may cause readvertising for bids pursuant to the procedure hereinabove prescribed. However, when all bids exceed the authorized budgeted amount, the city manager may authorize rejection of all bids and authorize rebidding based upon the original specifications or as they may be modified, in accordance with procedures prescribed herein.

(Code 1988, § 3.12.210)

Except as otherwise provided herein, formal bid contracts shall be awarded by the city council to the lowest responsible bidder. The determination of lowest responsible bidder shall be at the discretion of the city council pursuant to findings and recommendations presented by the purchasing agent or designee at the time of award of contract.

(Code 1988, § 3.12.220; Ord. No. 06-240, § 5, 4-3-06)

If two or more formal 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 or accept the lowest bid made by and after negotiation with the tie bidders at the time of the bid opening or award of contract.

(Code 1988, § 3.12.230)

When no formal bids or no responsive bids are received, the purchasing agent or designee is authorized to negotiate for written proposals, and his recommendation shall be presented to the city manager and the award, if any, shall be made in accordance with applicable provisions prescribed herein.

(Code 1988, § 3.12.240; Ord. No. 06-240, § 6, 4-3-06)

Purchases of supplies and equipment of an estimated value that conforms to the amounts established by resolution of the city council may be made by the purchasing agent in the open market pursuant to the procedure prescribed in sections 3.12.260 through 3.12.280 and without observing the procedure prescribed in sections 3.12.130 through 3.12.240; provided, however, all bidding may be dispensed with for purchases of supplies and equipment having a total estimated value that conforms to the amount established by resolution of the city council.

(Code 1988, § 3.12.250; Ord. No. 97-162, § 2, 2-24-97; Ord. No. 07-256, § 3, 8-20-07)

Open market purchases shall, wherever possible, be based on at least three informal bids, and shall be awarded to the bidder offering the most advantageous bid to the city after consideration of price, quality, durability, servicing, delivery time, standardization and other factors.

(Code 1988, § 3.12.260)

The purchasing agent or designee shall solicit informal bids from prospective vendors by written request, or by telephone, or by public notice posted on a public bulletin board at the city offices or the city's website.

(Code 1988, § 3.12.270; Ord. No. 2001-208, § 5, 11-19-01)

The purchasing agent shall keep a written record of all open market purchases and informal bids for a period of two years. This record, while so kept, shall be open to public inspection.

(Code 1988, § 3.12.280)

Notwithstanding any provision of this chapter to the contrary, the competitive bidding procedures and requirement shall not be required in any of the following instances:

(1) When the estimated amount involved conforms to the amount established by resolution of the City Council.

(2) When the equipment or supplies can be obtained from only one vendor.

(3) The city manager may authorize the purchase of materials, supplies, equipment and services where an emergency is deemed to exist and it is determined that service involving the public health, safety or welfare would be interrupted if the normal procedures were followed. All emergency purchases which would otherwise require formal bidding procedures made pursuant to this section shall be submitted to the city council for ratification at the next regular council meeting after the purchase is authorized.

(4) Contracts for personal services, for professional and consultant services, and other nonpublic projects and contractual services may be entered into without observing the bidding procedures provided herein.

(5) Supplies, equipment or services purchased from another governmental entity.

(6) Supplies, equipment or services acquired through a cooperative or piggyback contract with another governmental entity.

(7) The council finds that compliance with the requirements of this chapter would not be in the best interests of the city or would be impractical or uneconomical or would not provide the city with the highest quality and cost effectiveness in the purchase.

(Code 1988, § 3.12.290; Ord. No. 97-162, § 3, 2-24-97; Ord. No. 06-240, § 7, 4-3-06; Ord. No. 07-256, § 4, 8-20-07)

The city manager is authorized to enter into contracts for the purchase of supplies or equipment or contracts for personal, professional, consultant, and other nonpublic projects and contractual services pursuant to this chapter where the amount of such contract conforms to the amount established by resolution of the city council; provided, however, there exists an unencumbered appropriation in the fund account against which the expense is to be charged. Where the amount of any such contract does not conform to the amount established by resolution of the city council, the contract shall be approved by the city council.

(Ord. No. 97-162, § 4, 2-24-97; Ord. No. 06-240, § 8, 4-3-0; Ord. No. 07-256, § 5, 8-20-076)

The city council shall, by resolution, prescribe procedures, rules and regulations governing the solicitation, selection and award of proposals or bids for the furnishing of personal services or professional or consulting services or for other contractual services, the contracts for which may be awarded without observing the bidding procedures provided for in this chapter. Such procedures, rules and regulations shall have as one purpose the obtaining of contractual services of the highest quality together with cost-effectiveness.

(Code 1988, § 3.12.300)

All using departments shall submit to the purchasing agent, at such times and in such forms as he shall prescribe, reports showing all supplies and equipment which are no longer used or which have become obsolete and worn out.

(Code 1988, § 3.12.310)

The purchasing agent shall have authority, subject to the approval of the city manager, to exchange for or trade in on new supplies and equipment all supplies and equipment which cannot be used by any department or which have become unsuitable for city use.

(Code 1988, § 3.12.320; Ord. No. 06-240, § 9, 4-3-06)

The purchasing agent shall have authority, subject to the approval of the city manager, to dispose of surplus supplies or equipment by auction or by sale, including by sale to city employees, after receiving bids or proposals which, in his judgment, provide the maximum return to the city. Sales to city employees shall only be utilized when, in the opinion of the purchasing agent, all other alternative means of disposal would provide less return to the city.

(Code 1988, § 3.12.330; Ord. No. 06-240, § 10, 4-3-06)

The purchasing agent shall have authority, subject to the approval of the city manager, to donate surplus supplies and equipment subject to the following:

(1) Surplus supplies and equipment may be donated to nonprofit organizations or school districts located or operating within the city, or if these organizations express no interest, then to any other nonprofit organization or private organization that provides assistance to nonprofit organizations that has expressed interest in receiving donated surplus city property.

(2) Donations made to eligible entities shall be on a first come, first-serve basis.

(3) Prior to transfer of the donated supplies or equipment, the recipient entity shall provide a statement executed by a person duly authorized to legally bind the recipient entity that the donated property will:

a. Be accepted "as is," with no express or implied warranties; and

b. That an immediate need exists for the property and that it will be put into immediate use; and

c. That the property not ever be sold or otherwise transferred for profit; and

d. That the recipient entity shall assume all costs and liability associated with the removal and transportation of the surplus property from the city.

(4) City shall provide notice of the surplus property to be donated to solicit interest from potential donees.

(5) If in the opinion of the purchasing agent, the total amount of property to be donated pursuant to this section has a current value of $1,000.00 or more, the purchasing agent shall prepare a report of the property to be donated, the estimated current value of the property to be donated, and the recipient(s) of the property proposed to be donated, for approval by the city council.

(Ord. No. 96-157, § 1, 2-26-96; Ord. No. 2001-208, § 6, 11-19-01; Ord. No. 06-240, § 11, 4-3-06)

(a) The purchasing agent shall have authority to scrap surplus property if, regardless of value, it is broken or inoperable, cannot be repaired economically, and cannot otherwise be traded in, sold, auctioned, donated, or salvaged.

(b) The purchasing agent shall have authority to scrap surplus property in the following instances, but only with the approval of the city manager:

(1) If the surplus property, in the opinion of the purchasing agent, has a current value of less than $500.00 per unit, and for multiple items, has a combined total current value of less than $1,000.00, is not broken and cannot otherwise be traded in, sold, auctioned, donated, or salvaged.

(2) If the surplus property, regardless of value, is obsolete or nonfunctional and cannot otherwise be traded in, sold, auctioned, donated, or salvaged.

(c) All other surplus property may be scrapped by the purchasing agent subject to the additional approval of the city council.

(Ord. No. 96-157, § 1, 2-26-96; Ord. No. 2001-208, § 7, 11-19-01; Ord. No. 06-240, § 12, 4-3-06)

(a) For the purposes of this division, the terms and phrases set forth below will have the following definitions:

Compost has the same meaning as in 14 CCR Section 17896.2(a)(4), which stated, as of the effective date of this chapter, that "compost" means the product resulting from the controlled biological decomposition of organic solid wastes that are source separated from the municipal solid waste stream, or which are separated at a centralized facility.

Direct service provider means a person, company, agency, district, or other entity that provides a service or services to the city pursuant to a contract or other written agreement or as otherwise defined in 14 CCR Section 18982(a)(17).

Organic waste means solid wastes containing material originated from living organisms and their metabolic waste products, including but not limited to food, green material, landscape and pruning waste, organic textiles and carpets, lumber, wood, paper products, printing and writing paper, manure, biosolids, digestate, and sludges or as otherwise defined in 14 CCR Section 18982(a)(46). Biosolids and digestate are as defined by 14 CCR Section 18982(a).

Paper products include, but are not limited to, paper janitorial supplies, cartons, wrapping, packaging, file folders, hanging files, corrugated boxes, tissue, and toweling, or as otherwise defined in 14 CCR Section 18982(a)(51).

Printing and writing papers include, but are not limited to, copy, xerographic, watermark, cotton fiber, offset, forms, computer printout paper, white wove envelopes, manila envelopes, book paper, note pads, writing tablets, newsprint, and other uncoated writing papers, posters, index cards, calendars, brochures, reports, magazines, and publications, or as otherwise defined in 14 CCR Section 18982(a)(54).

Recovered organic waste products means products made from California, landfill-diverted recovered organic waste processed in a permitted or otherwise authorized facility, or as otherwise defined in 14 CCR Section 18982(a)(60).

Recycled-content paper means paper products and printing and writing paper that consists of at least 30 percent, by fiber weight, postconsumer fiber, or as otherwise defined in 14 CCR Section 18982(a)(61).

SB 1383 eligible mulch means mulch eligible to meet the Annual Recovered Organic Waste Product Procurement Target, pursuant to 14 CCR Chapter 12 of Division 7. This SB 1383 eligible mulch shall meet the following conditions for the duration of the applicable procurement compliance year, as specified by 14 CCR Section 18993.1(f)(4):

(1) Produced at one of the following facilities:

a. A compostable material handling operation or facility as defined in 14 CCR Section 17852(a)(12), that is permitted or authorized under 14 CCR Division 7, other than a chipping and grinding operation or facility as defined in 14 CCR Section 17852(a)(10);

b. A transfer/processing facility or transfer/processing operation as defined in 14 CCR Sections 17402(a)(30) and (31), respectively, that is permitted or authorized under 14 CCR Division 7; or,

c. A solid waste landfill as defined in Public Resources Code § 40195.1 that is permitted under 27 CCR Division 2.

(2) Meet or exceed the physical contamination, maximum metal concentration, and pathogen density standards for land application specified in 14 CCR Sections 17852(a)(24.5)(A)1 through 3 as enforced by Section 6.10.439.

SB 1383 regulations or SB 1383 regulatory means or refers to, for the purposes of this chapter, the Short-Lived Climate Pollutants: Organic Waste Reduction regulations developed by CalRecycle and adopted in 2020 that created 14 CCR, Division 7, Chapter 12 and amended portions of regulations of 14 CCR and 27 CCR.

(b) Direct service providers of landscaping maintenance, renovation, and construction shall:

(1) Use compost and SB 1383 eligible mulch, as practicable, produced from recovered organic waste, for all landscaping renovations, construction, or maintenance performed for the city, whenever available, and capable of meeting quality standards and criteria specified. SB 1383 eligible mulch used for land application shall comply with 14 CCR, Division 7, Chapter 12, Article 12 and must meet or exceed the physical contamination, maximum metal concentration and pathogen density standards specified in 14 CCR Section 17852(a)(24.5)(A)(1) through (3).

(2) Keep and provide records of procurement of recovered organic waste products (either through purchase or acquisition) to the city, upon completion of projects. Information to be provided shall include:

a. General description of how and where the product was used and if applicable, applied;

b. Source of product, including name, physical location, and contact information for each entity, operation, or facility from whom the recovered organic waste products were procured;

c. Type of product;

d. Quantity of each product; and

e. Invoice or other record demonstrating purchase or procurement.

(c) All vendors providing paper products and printing and writing paper shall:

(1) If fitness and quality are equal, provide recycled-content paper products and recycled-content printing and writing paper that consists of at least 30 percent, by fiber weight, postconsumer fiber instead of non-recycled products whenever recycled paper products and printing and writing paper are available at the same or lesser total cost than non-recycled items or at a total cost of no more than ten percent of the total cost for non-recycled items.

(2) Provide paper products and printing and writing paper that meet Federal Trade Commission recyclability standard as defined in 16 Code of Federal Regulations (CFR) Section 260.12.

(3) Certify in writing, under penalty of perjury, the minimum percentage of postconsumer material in the paper products and printing and writing paper offered or sold to the city. This certification requirement may be waived if the percentage of postconsumer material in the paper products, printing and writing paper, or both can be verified by a product label, catalog, invoice, or a manufacturer or vendor internet website.

(4) Certify in writing, on invoices or receipts provided, that the paper products and printing and writing paper offered or sold to the city is eligible to be labeled with an unqualified recyclable label as defined in 16 Code of Federal Regulations (CFR) Section 260.12 (2013).

(5) Provide records to the city's recovered organic waste product procurement recordkeeping staff, in accordance with the city's recycled-content paper procurement policy(ies) of all paper products and printing and writing paper purchases within 30 days of the purchase (both recycled-content and non-recycled content, if any is purchased) made by any division or department or employee of the city. Records shall include a copy (electronic or paper) of the invoice or other documentation of purchase, written certifications as required in sections 3.12.355(c)(3) and 3.12.355(c)(4) of this article for recycled-content purchases, purchaser name, quantity purchased, date purchased, and recycled content (including products that contain none), and if non-recycled content paper products or printing and writing papers are provided, include a description of why recycled-content paper products or printing and writing papers were not provided.

(Ord. No. 21-340, § 2, 7-13-21)