San Marino Municipal Code Art. 06 Finance Administration

A. Receiving Of Goods And Services: Each department shall be responsible for receiving and accepting goods and services procured by individuals in that department.

B. Presentation Of Demand And Authorization For Payment: Any demand against the city requesting payment for goods, services and public projects shall be in writing and may be in the form of a bill, invoice or formal demand. Each demand shall be presented to the finance officer, who shall examine the demand for accuracy and attach to each demand a certification from the individual who procured the goods, services or public projects for the city pursuant to section 02.06.05 of this article. The certification shall state that the goods, services or public projects have been provided to the city in compliance with the procurement requirements of section 02.06.05 of this article and that payment is due and payable.

C. Preparation Of Schedule Of Payments: The finance officer shall prepare a schedule of payments of demands for goods, services and public projects that have been approved by the finance officer. The finance officer can make payment in the form of checks, EFT, ACH or wire transfers. Checks shall be signed by both the city manager and the finance officer. Signatures may be affixed either manually or by facsimile. The finance officer will not require approval of any other city official to make payments by electronic funds transfer, automated clearinghouse, or wire transfers.

D. Payment Of Payroll: The city manager, the assistant city manager and each department director shall provide an approved payroll schedule for the persons in their respective departments. The finance officer shall prepare a register of approved payroll payments, which shall be made as provided in subsection C of this section.

E. Council To Ratify All Payments: The finance officer at the close of each month shall prepare a schedule of all payments made during the month. The schedule shall be presented to the city council for review and ratification at the next regular city council meeting. (Ord. 0-07-1192, 12-12-2007)

The finance officer shall be responsible for establishing and maintaining such accounts, funds and financial records as may be recommended for municipal governments under generally accepted accounting procedures or as may be required by state or federal laws, and periodic reports of the city's accounts shall be provided to the council, except as required of the city treasurer by state law 1 . (Ord. 951, 3-8-1989; amd. Ord. 0-07-1192, 12-12-2007)

A. All claims against the city for money or damages specifically exempted from or not otherwise governed by part 3 of division 3.6 of title 1 of the California Government Code (hereinafter the "tort claims act") or another state law (hereinafter "claims") shall be presented within the same time and in the same manner prescribed by the tort claims act for claims to which the tort claims act applies, as those provisions now exist or shall hereafter be amended, and also as provided in this section.

B. All claims shall be made in writing and verified by the claimant or by his or her guardian, conservator, executor or administrator. No claim may be filed on behalf of a class of persons unless verified by every member of that class as required by this section.

C. In accordance with Government Code sections 935(b) and 945.6, all claims shall be presented as provided in this section prior to the filing of suit on such claims.

D. If the application of the time periods established by this section for the presentation of claims to the city would extinguish an existing claim which is not otherwise time barred, then the date by which that claim must be presented to the city shall be the sooner of: 1) the date the claims period would have expired with respect to that existing claim if this section had not been adopted; or 2) six (6) months after the effective date of this section for claims described in the first sentence of Government Code section 911.2 or one year after the effective date of this section for claims described in the second sentence of that section. Nothing in this section shall extend the time for the presentation of any claim which time was established by statute, ordinance, or other law in effect prior to the adoption of this section.

E. The city manager shall be authorized to approve payment of claims up to an amount as delegated by City Council resolution. All claims exceeding said delegated authority shall require the prior approval of the city council before payment. (Ord. 0-07-1192, 12-12-2007; amd. Ord. O-24-1417, 11-20-2024)

The council shall adopt an investment policy by resolution indicating the permitted investments of city funds. The treasurer, with the assistance of the city manager and the finance officer, shall be responsible for assuring that all investments are made in conformance with the adopted policy.

The city treasurer shall present to the council a monthly report indicating the status of all investments of city funds and such other information as may be required by state law. (Ord. 951, 3-8-1989; amd. Ord. 0-07-1192, 12-12-2007)

A. General Requirements:

1. Conformance With The City Budget: No procurement of goods, services or public projects, as defined in subsection C2 of this section, is authorized unless the person making the procurement for the city signs a statement prepared by the finance officer certifying that the proposed procurement conforms to the budget adopted by the city council.

2. Applicable Procedures: Procurements of goods and services, but excluding contracts for public projects shall conform to the procedures in this subsection A and subsection B of this section. Contracts for public projects shall conform to the procedures in this subsection A and subsection C of this section.

3. Execution Of Contracts For Public Projects And Professional Services And The Procurement Of Goods: No contract to procure goods or for professional services or for a public project of more than thirty thousand dollars ($30,000.00) shall be executed unless previously approved by the city council and shall be executed only by the mayor or city manager. Contracts for public projects and professional services between five thousand dollars ($5,000.00) and up to and including thirty thousand dollars ($30,000.00) annually shall be executed and approved by the city manager. For purposes of this subsection 3, the authority of the city manager to approve and execute contracts of thirty thousand dollars ($30,000.00) annually or less shall not be affected by any provision of the contract that requires the city to indemnify or defend the person, contractor or entity that is providing the goods, services or public project to the city.

4. Change Orders: Change orders may be approved only by a person authorized to originally procure the goods, services or public projects, provided that the price, as amended by the change order, does not exceed that person's authority under subsection A3 or B1 of this section.

5. Prohibition Against Splitting Procurements: No procurement shall be split or separated into smaller procurements for the purpose of evading the limitations of subsection B of this section.

6. Bonds And Insurance: The finance officer may require liability and other insurance and performance and payment bonds in such amounts as the finance officer deems reasonably necessary to protect the city's interests. Bond and insurance requirements, if any, shall be included in the procurement documents.

7. Procurement With State Or Federal Funds: All procurements of goods, services and public projects for which payment is to be made, in whole or in part, with federal or state funds, regardless of the estimated value, shall be in accordance with the procedures contained in this section and in accordance with applicable federal or state regulations, whichever are more restrictive.

8. Emergency Procurements: The city council delegates to the city manager the power to declare a public emergency, as defined in Public Contract Code section 1102, to immediately take all actions directly required by the emergency, to procure needed goods, services and public projects and to contract for public projects without informal or formal bidding. The work may be done by City forces by force account, by negotiated contract or purchase order, or by a combination thereof. At the next meeting of the City Council occurring not later than fourteen (14) days after the emergency action, the City Manager shall provide a full report on the emergency, including an explanation of why the emergency did not permit a delay that would result from a competitive solicitation of bids, and why the City Manager's actions were necessary to respond to the emergency. At that meeting, and each meeting thereafter until the emergency action is terminated, the City Council shall determine by a four-fifths (4/5) vote that there is a need to continue the remedial action and whether that work should continue without the benefit of informal or formal bidding.

B. Procurement Of Goods And Services Other Than Public Projects: Procurement of goods and services, but excluding contracts for public projects, shall comply with the following procedures:

1. Persons Authorized To Procure Goods And Services: The City Manager and each Department Director shall designate in writing those persons who are authorized to procure goods and services for his or her department in the following amounts: a) up to and including one thousand dollars ($1,000.00); b) up to and including five thousand dollars ($5,000.00); and c) up to and including thirty thousand dollars ($30,000.00). No person authorized by the City Manager or a Department Director to procure goods and services may complete a procurement until the Finance Officer has received written notification of the authorization. The authorization shall include the manual signature of the authorized person. Only the City Manager and Department Directors may procure goods and services for their respective departments that exceed thirty thousand dollars ($30,000.00) or more that have been approved by the City Council.

2. General Requirements:

a. Purchase Orders Not Required: Purchase orders are not required, but will be provided at the request of the vendor or at the direction of the City Manager or Department Director.

b. Waiver Of Bidding: Bidding required by this subsection B for procurements of thirty thousand dollars ($30,000.00) or less may only be dispensed with when the City Manager or the Director of the department undertaking the procurement determines in writing that the goods or services are only available from one (1) source or that the best interests of the City are served by dispensing with competitive bids. Bidding required by this subsection B for procurements over thirty thousand dollars ($30,000.00) may only be dispensed with when the Finance Officer determines in writing that the goods or services are only available from one (1) source or that the best interests of the City are served by dispensing with competitive bids and are authorized by the City Council.

3. Procurements Of One Thousand Dollars ($1,000.00) Or Less: No price comparison is required. The procurement shall be effected by purchase order, if requested by the vendor, or by City credit card, petty cash, or check. Procurements of the same goods or services from the same vendor during a fiscal year shall not exceed one thousand dollars ($1,000.00) unless the procedures are followed that apply to the aggregate dollar amount of the procurements, including approval by an individual authorized to make the procurement in that amount.

4. Procurements Greater Than One Thousand Dollars ($1,000.00)And Up To And Including Thirty Thousand Dollars ($30,000.00): Three (3) written bids shall be obtained. With the exception of contracts for services, the award shall be made to the lowest responsible bidder. Contracts for services shall be awarded to the firm or individual that, in the opinion of the person in charge of the procurement, offers the best combination of quality and price. Procurements of the same goods or services need not be rebid more often than once each fiscal year, but the total dollar amount of the same goods or services procured from the same vendor during a fiscal year shall not exceed five thousand dollars ($5,000.00) unless the appropriate procedures for a purchase in the aggregate dollar amount are followed, including approval by an individual authorized to make the procurement in that amount. The vendor shall send an invoice to the City.

5. Procurements Greater Than Thirty Thousand Dollars ($30,000.00): Written notices inviting bids for procurement of goods and written requests for proposals to procure services shall be provided to at least three (3) vendors and to all vendors requesting to receive notices inviting bids and requests for proposals for the types of services or goods to be procured. With the exception of contracts for services, the award shall be made to the lowest responsible bidder. Contracts for services shall be awarded to the firm or individual that, in the opinion of the person in charge of the procurement, offers the best combination of quality and price. The award shall be made by the City Council.

6. Cooperative Purchasing: Purchases of supplies, materials and equipment and sales of personal property made under a cooperative purchasing program utilizing purchasing agreements or bids received by the County, State, or other public agency are exempt from the requirements of this subsection.

C. Public Projects:

1. Applicability Of The Uniform Public Construction Cost Accounting Act: Public projects, as defined in subsection C2 of this section, shall be awarded in accordance with the Uniform Public Construction Cost Accounting Act, and in compliance with the provisions of this subsection C.

2. Definitions: The following terms are defined as set forth below:

FACILITY: Any plant, building, structure, ground facility, utility system, real property, streets and highways, or other public work improvement. In the case of a publicly owned utility system, "public project" shall include only the construction, erection, improvement, or repair of dams, reservoirs, power plants, and electrical transmission lines of two hundred thirty thousand (230,000) volts and higher.

PUBLIC PROJECT:

a. Any of the following:

(1) Construction, reconstruction, erection, alteration, renovation, improvement, demolition, or repair work involving any publicly owned, leased or operated facility;

(2) Painting or repainting of any publicly owned, leased or operated facility.

"Public project" does not include maintenance work. For purposes of this subsection C, "maintenance work" includes all of the following:

(1) Routine, recurring, and usual work for the preservation or protection of any publicly owned or publicly operated facility for its intended purposes;

(2) Minor repainting;

(3) Resurfacing of streets and highways at less than one inch (1");

(4) Landscape maintenance, including mowing, watering, trimming, pruning, planting, replacement of plants, and servicing of irrigation and sprinkler systems;

(5) Work performed to keep, operate and maintain publicly owned water, power or waste disposal systems, including, but not limited to, dams, reservoirs, power plants, and electrical transmission lines of two hundred thirty thousand (230,000) volts and higher.

3. General Requirements:

a. Designation Of Projects: The city manager shall review all proposed public projects and shall classify each project as follows:

(1) Public projects of sixty thousand dollars ($60,000.00) or less, which may be performed with the city's own forces by force account, by negotiated contract, or by purchase order.

(2) Public projects of two hundred thousand dollars ($200,000.00) or less, which may be let to contract by informal bidding.

(3) Public projects of more than two hundred thousand dollars ($200,000.00), which must be let by contract after formal bidding.

b. To the extent that the Uniform Public Construction Cost Accounting Act adjusts these amount limitations, such modifications shall supersede the limits specified herein.

c. Prohibition Against Splitting Projects: Public projects shall not be split or separated to avoid any of the bidding requirements contained herein or in Public Contract Code section 22000 et seq.

4. Procedures For Public Projects Of Sixty Thousand Dollars ($60,000.00) Or Less: Contracts for public projects of sixty thousand dollars ($60,000.00) or less may be approved and entered into for a department by the person or persons designated by the city manager or the department director to procure goods and services pursuant to subsection B of this section.

5. Informal Bidding Procedures of two hundred thousand dollars ($200,000.00) or less:

a. List Of Contractors: The City's director of public works shall maintain a list of qualified contractors eligible to submit bids for public projects of two hundred thousand dollars ($200,000.00) or less. The list shall be organized in accordance with the license classifications of the contractors state license board. Any licensed California contractor may be added to the list at any time by filing with the director a completed application on a form provided by the city.

b. Plans, Specifications And Working Details: The person in charge of the procurement shall cause to be prepared plans, specifications, and working details necessary to enable a qualified contractor to perform the required work.

c. Notice Inviting Bids: The person in charge of the procurement has the option of sending by mail, fax, or email the notice inviting informal bids to all contractors on the list of qualified contractors for the category of work being bid, or to all construction trade journals as specified by the California uniform cost accounting commission pursuant to Public Contract Code section 22036, or to both the list of qualified contractors and the construction trade journals. The notice inviting bids shall describe the project in general terms and how to obtain more detailed information about the project, and shall state the time and place for the submission of bids. The notices inviting bids shall be mailed no less than ten (10) calendar days before bids are due.

d. Receipt Of Bids: At the time specified in the notice inviting bids, the person in charge of the procurement shall open all bids timely received and shall recommend award of the contract to the lowest responsible bidder. If two (2) or more responsive bids are the same and lowest, the award of the contract shall be determined by drawing lots. If no bids are received, bids may be again solicited, or the public project may be performed by city forces, or the city may enter into a negotiated contract with any qualified person or firm.

e. Bids Over Two Hundred Thousand Dollars ($200,000.00): If all bids received are in excess of two hundred thousand dollars ($200,000.00), the city council may, by adoption of a resolution by a four-fifths (4/5) vote, award the contract, at two hundred twelve thousand five hundred dollars ($212,500.00) or less, to the lowest responsible bidder, if the city council determines that the city's cost estimate was reasonable. To the extent that the Uniform Public Construction Cost Accounting Act adjusts these amount limitations, such modifications shall supersede the limits specified herein.

6. Procedures For Public Projects Exceeding Two Hundred Thousand Dollars ($200,000.00): Contracts for public projects estimated by the city manager to exceed two hundred thousand dollars ($200,000.00) shall be awarded pursuant to formal bidding in accordance with the provisions of Public Contract Code sections 22037 and 22038. If a contract is awarded, it shall be awarded to the lowest responsible bidder. If two (2) or more bids are the same and the lowest, the city council may accept either bid. If no bids are received, the public project may be performed by the city's own forces by force account, or by negotiated contract, without further compliance with the uniform public construction cost accounting act or this code.

D. The City may utilize the design-build method of project delivery, to the extent authorized by and consistent with Section 22160 et seq. of the Public Contract Code.

(Ord. 0-17-1322, 3-31-2017; amd. Ord. 0-07-1192, 12-12-2007; Ord. O-20-1366, 6-10-2020)

A. Authority Of City Manager: The city manager is authorized to declare city property as surplus, to dispose of or cause to be disposed of such property in the manner prescribed and to adopt such administrative regulations as may be necessary to accomplish the requirements contained herein.

B. Identification Of Surplus Property: Each department head shall be responsible for identifying surplus city property within the department. Each department head shall state to the city manager the item to be declared surplus and the reason for declaring it surplus, with a recommendation for its disposition. (Ord. 951, 3-8-1989; amd. 1994 Code; Ord. 0-07-1192, 12-12-2007)

C. Disposition Of Surplus Property: Upon a determination that an item is surplus, the city manager shall determine the means by which the property shall be disposed of. Property may be disposed of by any of the following means:

• 1. Transfer to another department.
• 2. Trade in for the acquisition of replacement item(s).
• 3. Sale at public auction.
• 4. Sale at auction to be conducted as part of a city related fundraising event.
• 5. Sale by negotiation.
• 6. Disposal as trash.

D. Council Approval Of Sale Of Property: Disposition of surplus city property by sale at public auction, negotiation or sale by auction at a city related fundraising event shall be approved by the city council prior to the time of the sale. Disposition by public auction shall be publicly advertised not fewer than ten (10) days prior to the time of the public auction. All persons attending a city related fundraising event at which surplus city property will be auctioned shall be eligible to submit a bid on the surplus city property. (Ord. 0-12-1268, 9-17-2012)

E. Proceeds From Sales: All proceeds from the sale of surplus city property shall be deposited in the city's general fund unless otherwise required by state or federal law. (Ord. 951, 3-8-1989; amd. 1994 Code; Ord. 0-07-1192, 12-12-2007)

F. Employees Prohibited From Participation: All officers and employees of the city and their immediate families shall be prohibited from participating in the sale by negotiation of surplus city property. (Ord. 0-12-1268, 9-17-2012)

A. Presentation To Police Chief: It shall be the duty of every employee and officer of the city who shall find any lost money or other property in or upon any public grounds, highways, road, public building, place or property of the city to deliver the same to the police chief together with a written statement detailing the circumstances of the finding, including the time and place of the finding and the name and address of the owner or person believed to be the owner, if known.

B. Protection Of Unclaimed Property: The police chief shall care for and protect all unclaimed property coming into his/her possession and shall restore such property to its true owner upon proof of ownership satisfactory to him/her and upon payment of all necessary costs incurred in the care and protection thereof. (Ord. 951, 3-8-1989; amd. Ord. 0-07-1192, 12-12-2007)

C. Disposition Of Unclaimed Property And Proceeds From Sales: Whenever unclaimed property has been held for a period of time as provided for by state law, and no lawful owner has been located, the police chief shall dispose of the unclaimed property by sale at public auction to the highest bidder. Such sales shall be publicly advertised at least five (5) days before the auction date in a newspaper of general circulation published in the county of Los Angeles. All proceeds from the sale of unclaimed property shall be deposited in the city's general fund unless otherwise required by state or federal law. (Ord. 0-12-1268, 9-17-2012)

D. Guns, Fireworks, Etc.: Whenever any guns, weapons, arms, fireworks, explosives, contraband or other like property come into custody of the police chief, whether by finding, confiscation on public or private property or otherwise, such property shall be turned over to the city manager who shall make such disposition thereof in the public interest as he/she shall see fit and in accordance with applicable state law. (Ord. 951, 3-8-1989; amd. Ord. 0-07-1192, 12-12-2007)

A. Definitions: For the purposes of this section, the following definitions shall apply:

FEE ADMINISTRATOR: The city manager or his/her designee.

MOBILE SOURCE AIR POLLUTION REDUCTION PROGRAM: Any program or project implemented by the city to reduce air pollution emitted from motor vehicles pursuant to the California clean air act of 1988 or the air quality management plan for the South Coast air quality management district prepared and adopted in accordance with the provisions of Health And Safety Code sections 40460 through 40470.

B. Fund Established; Management: The fee administrator shall establish a separate interest bearing trust fund account with a financial institution authorized to accept deposits of city funds. This account shall be known as the air quality improvement trust fund. All interest earned by the account shall be credited to this account. All funds received by the city pursuant to Health And Safety Code sections 44243 and 44244, along with any other funds designated by the city council, shall be deposited in this account and shall be used for the sole purpose of financing mobile source air pollution reduction programs. The fee administrator shall be responsible for depositing funds in the air quality improvement trust fund.

C. Audits: The city hereby consents to audits, at least once every two (2) years, of all programs and projects funded by vehicle registration fees provided by Health And Safety Code section 44243; provided, that such audit shall be conducted by an independent auditor selected by the South Coast air quality management district. Audit costs shall be funded as provided in Health And Safety Code section 44244.1.

D. Purpose And Interpretation: It is the intent of the city council that the provisions of this section and the interpretation of the term "mobile source air pollution reduction programs" shall be liberally construed to effectively carry out the purposes hereof which are hereby found and declared to be to further public health, safety, welfare and convenience, in accordance with the requirements and limitations of Health And Safety Code sections 44243 and 44244. (Ord. 993, 6-19-1991; amd. Ord. 0-07-1192, 12-12-2007)