Chapter 27.10

PUBLIC BIDDING

Parts:

• 1 Electronic Media

• 2 Bid Documents

• 3 Soliciting Bids

In accordance with Section 1217(e) of the Charter of the City of San José, the Director may procure the following Major Public Works Contracts without any competitive process and without complying with Section 27.08.020:

• A. Intergovernmental Contracts, which are subject to the requirements of Chapter 27.34 of this Title;

• B. City-Public Utility Contracts, which are subject to the requirements of Chapter 27.36 of this Title;

• C. City-Developer Contracts, which are subject to the requirements of Chapter 27.38 of this Title;

• D. Contracts involving specialty work, which are subject to the requirements of Chapter 27.40 of this Title;

• E. Contracts involving work of urgent necessity, which are subject to the requirements of Chapter 27.42 of this Title;

• G. Contracts for which the solicitation of bids would be an idle act, which are subject to the requirements of Chapter 27.46 of this Title.

• 4 Submission And Opening Of Bids

• 5 Notice Of Intended Determination

• 6 Bid Protests

• 7 Responding To A Bid Protest

• 8 Resolution Of Protests

• 9 Responsible Bidder 10 Disposition Of Bids

Part 1

ELECTRONIC MEDIA

Sections:

This Chapter 27.10 sets forth the requirements for procuring Major Public Works Contracts by Public Bidding.

(Ord. 30308.)

(Ord. 30308.)

Notwithstanding anything to the contrary in this Chapter 27.08, if a Major Public Works Con-

Part 1 of this Chapter 27.10 addresses the use of electronic media in Public Bidding. (Ord. 30308.)

T27:11

2026-Supplement 4

SAN JOSÉ CODE

§ 27.10.030

The Director may use electronic media as part of Public Bidding, including without limitation, the electronic solicitation, submission, opening and/or reporting of bids. (Ord. 30308.)

The Director must use any electronic media in a manner that is consistent with the Public Bidding requirements and the requirements of any applicable local, state or federal laws or regulations. (Ord. 30308.)

Part 2

BID DOCUMENTS

Sections:

Part 2 of this Chapter 27.10 addresses the content of the bid documents used to procure a Major Public Works Contract by Public Bidding. (Ord. 30308.)

• A. The bid documents must require each bidder to provide bid security guaranteeing that the bidder, if awarded the Major Public Works Contract, will execute the contract.

• B. Except as otherwise directed by the Council, the bid security amount for Major Public Works Contracts will be at least 10 percent of the total bid amount, without consideration of the amount of any bid alternates.

• C. The bid documents will set forth the form of the bid security, the grounds and the manner for return and forfeiture of the bid security, and any other requirements the Director deems appropriate.

• (Ord. 30308.)

The bid documents must also include each of the following:

• A. Plans and specifications that are:

  1. Appropriately detailed given the complexity, magnitude and nature of the work;

  2. Prepared, signed and sealed by the appropriate registered design professional in accordance with any State law applicable to the preparation, signing and sealing of such plans and specifications; and

  3. Prepared in accordance with Chapter 27.20 of the Title 27 regarding directing a Contractor to use a designated material, product, service or business;

• B. Bond, insurance and indemnity requirements in accordance with Chapter 27.24 of this Title 27;

• C. Environmental mitigation monitoring and reporting provisions consistent with Chapter 27.18 of this Title 27;

• D. Prevailing wage provisions consistent with Chapter 27.22 of this Title 27;

• E. Dispute resolution requirements consistent with Chapter 27.28 of this Title 27;

• F. Any Contractor or subcontractor workrelated qualification requirements that the Director determines are appropriate;

• G. Nondiscrimination requirements consistent with Chapter 4.08 of Title 4 of the Municipal Code; and

• H. Any other requirements the Director deems appropriate.

• (Ord. 30308.)

• A. Before soliciting bids for a Major Public Works Contract, the Director will review the plans and specifications to determine if they are suitable for Public Bidding.

T27:12

2026-Supplement 4

PROCUREMENT OF PUBLIC WORKS

§ 27.10.150

• B. The Director's signature on the front of the plans and specifications indicates the following:

  1. The Director's determination that the plans and specifications are suitable for Public Bidding; and

  2. The Director's approval of the plan or design associated with the Public Works Project being undertaken by the City.

• (Ords. 30308, 30474.)

Part 3

SOLICITING BIDS

Sections:

In accordance with Section 1217(e) of the Charter of the City of San José, the Director will publish the notice inviting bids as follows:

• A. In a newspaper of general circulation in the City, or electronically so that the notice is publicly available to the general community of potential bidders; and

• B. At least once no fewer than 10 Calendar Days before the date set for the opening of bids.

• (Ord. 30308.)

Part 4

SUBMISSION AND OPENING OF BIDS

Sections:

Part 3 of this Chapter 27.10 addresses soliciting bids for Major Public Works Contracts procured by Public Bidding. (Ord. 30308.)

The Director will issue a notice inviting bids containing at least the following information:

• A. A brief, general description of the Public Works Project for which the City is soliciting bids;

• B. How and where to obtain the bid documents;

• C. Notice that bids must be sealed;

• D. The date and time by which the sealed bids must be submitted to the City;

• E. Where and to whom the sealed bids must be submitted;

• F. The date and time when, and place where, the City will publicly open the sealed bids; and

• G. Any other information the Director deems appropriate.

(Ord. 30308.)

Part 4 of this Chapter 27.10 addresses submitting and opening bids for Major Public Works Contracts procured by Public Bidding. (Ord. 30308.)

Bidders must submit sealed bids on or before the time, and at the place, described in the notice inviting bids.

(Ord. 30308.)

The Director will publicly open the bids and announce the aggregate amount of each bid at the time and place specified in the notice inviting bids. (Ord. 30308.)

• A. The Director will make available to bidders a summary of the properly submitted bids within a reasonable time after bids are opened.

T27:13

2026-Supplement 4

SAN JOSÉ CODE

§ 27.10.150

• B. The Director will determine in what manner to make available the summary of bids.

• (Ord. 30308.)

If the City does not receive any bids:

• A. The Director may re-advertise for bids; or

• B. In accordance with Section 1217(h) of the Charter of the City of San José, the Council may have the Public Works Project done without further complying with Public Bidding.

• (Ord. 30308.)

Part 5

NOTICE OF INTENDED DETERMINATION

Sections:

The notice of intended determination will state which of the following actions the Director intends to take:

• A. Reject all bids and take no further action or re-advertise for new bids;

• B. Make a recommendation to the Council regarding the award of the contract, in which case the notice also must include to which bidder the Director intends to recommend awarding the contract;

• C. Award the contract in accordance with the authority delegated in Sections 27.04.060.B of Chapter 27.04 or 27.10.560 of Chapter 27.10, in which case the notice also must include to which bidder the Director intends to award the contract; or

• D. Any other proper action the Director will take in response to the bids.

• (Ord. 30308.)

Part 5 of this Chapter 27.10 addresses giving notice of what action the Director will take after opening bids for Major Public Works Contracts procured by Public Bidding. (Ord. 30308.)

• A. Within a reasonable time after opening bids, the Director will post a notice of intended determination and give bidders notice of the posting.

• B. The Director will determine the manner of posting the notice and of giving bidders notice of the posting.

• (Ord. 30308.)

In addition to the requirements of Section 27.10.190, the notice of intended determination must include the following information whenever the Director's intended action is other than rejecting all bids:

• A. The time and date when the Director intends to make the award, or when the Council will consider the Director's recommendation, whichever is applicable;

• B. Any determination that a bid is nonresponsive and the basis for that determination;

• C. Any determination that a bidder is not responsible, and a summary of the evidence supporting that determination;

• D. The location where, and the person to whom, bid protests and responses to bid protests must be submitted, and a general statement of the procedures and time requirements for submitting bid protests and responses to bid protests; and

T27:14

2026-Supplement 4

PROCUREMENT OF PUBLIC WORKS

§ 27.10.290

• E. Any other information the Director deems appropriate.

• (Ord. 30308.)

Part 6

BID PROTESTS

Sections:

Only the following Persons have standing to protest a bid:

• A. A potential bidder who demonstrates it did not submit a bid because of an error in the procurement process; and

• B. A bidder who demonstrates it would have a reasonable possibility of being awarded the contract if the City were to sustain its protest.

• (Ord. 30308.)

27.10.230 Waiver of rights.

27.10.240 Rejection of bids.

27.10.250 Standing.

27.10.260 Timely submission.

27.10.270 No additional protest period.

• 27.10.280 Written protest.

27.10.290 Protest contents.

Part 6 of this Chapter 27.10 addresses bid protests involving a Major Public Works Contract procured by Public Bidding. (Ord. 30308.)

The bid protest procedures and time limits in this Part 6 are mandatory and are the exclusive administrative remedy for protesting a bid. (Ord. 30308.)

• A. Failure to comply with the procedures and time limits in this Part 6 is a waiver of any right to pursue a bid protest.

• B. Failure to include an issue or argument in a bid protest is a waiver of any right to pursue such issue or argument.

• (Ord. 30308.)

A bidder cannot protest a decision to reject all bids, whether the rejection is by the Council or the Director. (Ord. 30308.)

• A. The Director must receive a bid protest at the location stated in the notice of intended determination.

• B. The Director must receive the bid protest by 5:00 p.m. on the 3rd Business Day after the day the Director gives bidders notice of the posting of the notice of intended determination.

• C. The Director will not accept a late bid protest. (Ords. 30308, 31237.)

• A. Bid protests must be submitted within the time set forth in Section 27.10.260.

• B. There will be no additional protest period, even if a timely submitted protest results in a change to which bidder the Director will award, or will recommend award of, the Major Public Works Contract.

• (Ord. 30308.)

A bid protest must be submitted in writing and cannot be supplemented after submittal without the Director's written approval. (Ord. 30308.)

A written protest must include the following:

• A. The protestor's identity and standing to submit a protest;

T27:15

2026-Supplement 4

SAN JOSÉ CODE

§ 27.10.290

• B. The name of the Major Public Works Contract at issue;

• C. A complete statement of the legal and factual grounds for the protest, including specific references to relevant documents and legal authorities;

• D. Copies of any documents that support the protest; and

• E. A request for a responsibility hearing in accordance with Section 27.10.470 of this Chapter if the bidder is protesting a proposed determination that it is not a Responsible Bidder.

• (Ord. 30308.)

Part 7

RESPONDING TO A BID PROTEST

Sections:

• B. A bidder's failure to include an issue or argument in a response to a bid protest is a waiver of any right to pursue such issue or argument.

• (Ord. 30308.)

• A. A bidder that is the subject of a protest may submit a response.

• B. The response must be in writing and cannot be supplemented after submittal without the Director's written approval.

• (Ord. 30308.)

• A. The Director must receive a bidder's written response at the location stated in the notice of determination.

• B. The Director must receive the response by 5:00 p.m. on the 3rd Business Day following the last day for submitting a bid protest.

• C. The Director will not accept a late response.

• (Ord. 30308.)

27.10.320 Waiver of rights.

27.10.330 Written response.

27.10.340 Timely response.

27.10.350 Response contents.

Part 7 of this Chapter 27.10 addresses responding to a bid protest. (Ord. 30308.)

The bid protest response procedures and time limits in this Part 7 of this Chapter 27.10 are mandatory and the exclusive administrative remedy for responding to a bid protest. (Ord. 30308.)

A bid protest response must include the following:

• A. A complete statement of all legal and factual grounds for opposing the protest, including specific references to relevant documents and legal authorities; and

• B. Copies of any relevant documents supporting the response.

• (Ord. 30308.)

Part 8

RESOLUTION OF PROTESTS

Sections:

• A. A bidder's failure to comply with the procedures and time limits in this Part 7 of Chapter 27.10 is a waiver of any right to pursue a response to a bid protest.

T27:16

2026-Supplement 4

PROCUREMENT OF PUBLIC WORKS

§ 27.10.440

Part 8 of this Chapter 27.10 addresses how the Director will resolve bid protests other than those involving the responsibility of a bidder. The exclusive procedures for resolving issues of responsibility are set forth in Part 9 of this Chapter 27.10. (Ord. 30308.)

Neither the Council nor the Director is required to conduct a hearing on a bid protest. (Ord. 30308.)

Part 9

RESPONSIBLE BIDDER

Sections:

The Council will finally resolve bid protests made during the procurement of a Major Public Works Contract. (Ord. 30308.)

• 27.10.430 Final decision.

• 27.10.440 Director's recommendation.

• 27.10.450 Relevant information.

• 27.10.460 Notice of non-responsibility.

• 27.10.470 Hearing request.

• A. The Director will make a written recommendation, including a brief supporting explanation, to the Council regarding a bid protest.

• B. The Director may include the written recommendation as part of the Council memorandum on the matter.

• C. The Director will provide notice of the recommendation to the protestor(s).

• (Ord. 30308.)

To help determine what recommendation to make to the Council, the Director may request the bidder protesting the bid and/or responding to a protest to provide additional written or oral information.

(Ord. 30308.)

The Director's recommendation may be based on the bid documents, any information submitted as part of the protest or protest response, the results of any independent investigation, and any other information the Director deems relevant. (Ord. 30308.)

• 27.10.480 Timing of hearing request.

• 27.10.490 Untimely request.

• 27.10.500 Responsibility hearing.

• 27.10.510 Hearing procedures.

• A. This Part 9 of Chapter 27.10 sets forth how the City will determine that a Contractor bidding on a Major Public Works Contract is not responsible.

• B. This Part 9 of Chapter 27.10 does not apply to the prequalification of Contractors under Chapter 27.16 or to the debarment of a Contractor under Chapter 4.10 of Title 4.

• (Ord. 30308.)

The Council will make the final decision regarding whether a bidder on a Major Public Works Contract is responsible. (Ord. 30308.)

• A. If a bidder's responsibility is at issue, the Director will make a written recommendation to the Council regarding the matter.

T27:17

2026-Supplement 4

SAN JOSÉ CODE

§ 27.10.440

• B. The Director must include supporting evidence with any recommendation that a bidder is not responsible.

• C. The Director may include the written recommendation as part of the Council memorandum on the matter.

• D. The Director will provide a copy of any recommendation regarding the responsibility of a bidder to any protestor(s) and to all bidders.

• (Ord. 30308.)

The following information is relevant to determining if a bidder is responsible:

• A. The bidder's performance on other contracts, including other City contracts;

• B. The bidder's record of compliance with relevant laws and regulations, such as laws related to contractor licensing, labor laws related to employee compensation and benefits, and laws related to the submission of false claims;

• C. The bidder's record of business integrity;

• D. The bidder's management expertise, technical qualifications, and experience;

• E. The bidder's demonstrated financial resources;

• F. The lack of responsibility of one or more of the subcontractors listed by the bidder; and

• G. Any ground for debarment in Section 4.10.150 of the San José Municipal Code.

A bidder receiving a notice of non-responsibility has the right to request, in writing, that the Director conduct a "responsibility" hearing on the issue of the bidder's responsibility. (Ord. 30308.)

• A. If the notice of non-responsibility is included in a notice of intended determination, then the bidder must request a "responsibility" hearing as part of a response made in accordance with Part 7 of this Chapter 27.10.

• B. In all circumstances other than those addressed in Subsection A, the bidder must request a "responsibility" hearing within 5 Business Days of the date of the notice of nonresponsibility.

• (Ord. 30308.)

The bidder waives its right to a "responsibility" hearing by failing to timely request such hearing.

(Ord. 30308.)

If the bidder timely requests a "responsibility" hearing, the Director will conduct the hearing before making a recommendation to the Council. (Ord. 30308.)

• (Ords. 30308, 31237.)

• A. The Director will notify a bidder, in writing, of a proposed finding that the bidder is not responsible.

• B. The Director's notice of non-responsibility will include a summary of the evidence forming the basis of the proposed finding.

• C. The Director may include the notice of nonresponsibility as part of the notice of intended determination issued in accordance with Part 5 of this Chapter 27.10.

• (Ord. 30308.)

The Director will conduct the "responsibility" hearing in accordance with the following.

• A. The Director will give the bidder written notice of the day, time and place of the hearing.

• B. The Director will give the bidder a reasonable opportunity at the hearing to demonstrate it is a responsible bidder.

• C. The Director will conduct the hearing in an informal manner. Formal rules of evidence will not apply.

T27:18

2026-Supplement 4

PROCUREMENT OF PUBLIC WORKS

§ 27.10.560

• D. The Director may establish reasonable hearing procedures, including placing reasonable time restrictions on the submission of documents and other evidence, and on the length of the hearing.

Except as specified below in Section 27.10.560, the authority to award a Major Public Works Contract is reserved to the Council.

(Ord. 30308.)

• (Ord. 30308.)

Part 10

DISPOSITION OF BIDS

Sections:

27.10.540 Award.

• 27.10.550 Award authority - Council.

• 27.10.560 Award authority - Director.

27.10.570 Minor irregularities.

27.10.580 Identical bids.

Part 10 of this Chapter 27.10 sets forth the alternatives for final disposition of the bids and who has the authority to take those actions. (Ord. 30308.)

The Council and the Director each have the authority to reject all bids for any reason, and to take no further action or re-advertise for new bids. (Ord. 30308.)

A Major Public Works Contract awarded following Public Bidding must be awarded to the responsible bidder submitting the lowest responsive bid, except as otherwise permitted in Section 27.12.040. (Ord. 30308.)

• A. The Director is authorized to award and execute a Major Public Works Contract under the following conditions:

  1. The amount of the Major Public Works Contract is $5,000,000 or less, exclusive of the amount of any bid alternates being awarded.

  2. There is no unresolved bid protest that conforms to the requirements of Part 6 of this Chapter 27.10.

• B. The Director's authority under this Section includes:

  1. The authority to award bid alternates, even if their cost would cause the Major Public Works Contract to exceed $5,000,000;

  2. The authority to reject bid alternates; and

  3. The authority to establish a construction contingency in an amount consistent with Section 27.04.050.

• C. The Director's authority under this Section is subject to the limitation that the contract amount, plus the project delivery costs, plus the construction contingency must be less than or equal to the amount appropriated for the project.

• D. The Director's authority under this Section includes the authority to approve the plan or design associated with the Major Public Works Contract the Director awards and executes.

• E. The $5,000,000 threshold amount in this Section is subject to adjustment for inflation in accordance with Section 27.04.100.

• (Ords. 30308, 30540, 31237.)

T27:19

2026-Supplement 4

SAN JOSÉ CODE

§ 27.10.570

In accordance with Section 1217(e)(5) of the Charter of the City of San José, informalities or minor irregularities in bids or bidding may be waived. (Ord. 30308.)

This Chapter 27.12 sets forth the requirements for procuring Major Public Works Contracts by the Best Value method under Section 1217(c)(1) of the Charter of the City of San José. (Ord. 30308.)

In accordance with Section 1217(h)(1) of the Charter of the City of San José, a Major Public Works Contract may be awarded to any of the responsible bidders submitting identical responsive bids.

(Ord. 30308.)

If the responsible bidder submitting the lowest responsive bid is awarded a Major Public Works Contract and does not execute the contract, the contract may be awarded to the responsible bidder submitting the second lowest responsive bid. (Ord. 30308.)

The Director may consent to relieving a bidder of its bid for mistake if the bidder established the grounds for such relief in accordance with California Public Contracts Code Sections 5101 through 5103, as those sections may be amended. (Ord. 30308.)