Seal Beach Municipal Code Ch. 3.20 Purchasing System

A. Position Creation. There is hereby created in the city government the position of purchasing officer. The city manager shall serve as the purchasing officer except that, with approval of the city council, the city manager may delegate to another officer or employee some or all of the powers and duties of the purchasing officer.

B. Powers and Duties. The purchasing officer shall have the following powers and duties:

1. To purchase supplies and equipment in accordance with the procedures set forth in this chapter.

2. To negotiate and recommend execution of contracts for the purchase of supplies and equipment.

3. To discourage uniform bidding and endeavor to obtain as full and open competition as possible on all purchases.

4. To recommend to the city council rules to govern the purchase of supplies and equipment.

5. To keep informed of current developments in the field of purchasing, prices, market conditions and new products.

6. To maintain such forms as reasonably necessary for the implementation of this chapter.

7. To supervise the inspection of all purchased supplies and equipment to ensure conformance with specifications.

8. To maintain a bidders' list, vendors' catalog file and other records appropriate for the efficient operation of the purchasing department.

(Ord. 1515)

The head of each department shall file with the purchasing officer detailed estimates of the department's requirements in supplies and equipment. Such filing shall be made at the time and in the manner prescribed by the purchasing officer.

(Ord. 1515)

Department requests for supplies and equipment shall be made by standard purchase order forms. Prior to submission to the purchasing officer, each purchase order shall be reviewed and approved by the head of the department making the request.

(Ord. 1515)

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

(Ord. 1515)

The following purchases are exempt from the bidding requirements of this chapter:

A. Purchases made during an emergency from the nearest available source of supply.

B. Purchases of a commodity that can be obtained only from one vendor.

C. Purchases of professional services. This exemption applies without limitation to purchases of: architectural services; bond services; election services; engineering services; insurance services; legal services; public relations services; real estate services; and solid waste disposal services.

D. Purchases made in cooperation with the state, the county or another government entity for the purpose of obtaining a lower price upon the same terms, conditions and specifications.

(Ord. 1515)

A. Requirement. Except as otherwise provided in this chapter, purchases of supplies and equipment having an estimated value greater than $20,000 shall be made from the lowest responsible bidder pursuant to the procedure set forth in this section.

B. Bid Invitation Notice. The bid invitation notice shall describe the articles to be purchased, shall indicate the time and place for bid opening and shall state where bid blanks and specifications may be secured.

1. Published Notice. Bid invitation notices shall be published at least 10 days before the opening of bids. Notice shall be published at least once in a newspaper of general circulation, printed and published in the city. If there is no such paper, then notice shall be given by public posting.

2. Bidders' List. The purchasing officer shall also solicit sealed bids from all responsible prospective vendors whose names are on the bidders' list or who have requested that their names be added thereto.

3. Bulletin Board. The purchasing officer shall also advertise pending purchases by posting the notice on a public bulletin board at city hall.

C. Bidder's Security. When deemed necessary, the purchasing officer may prescribe bidder's security in the bid invitation notice. The bid security shall be returned to bidders provided, however, that a successful bidder shall forfeit its bid security upon failure to execute the purchase contract within 10 days after mailing of the notice of award of the contract.

D. Bid Opening Procedure. The purchasing officer shall receive only those bids that are sealed and identified as bids on the envelope. Bids shall be opened in public at the time and place indicated in the bid invitation notice.

E. Bid Rejection. In its absolute discretion, the city council may reject all submitted bids and direct the purchasing officer to issue a new bid invitation notice.

F. Contract Award. The city council shall award the purchase contract to the lowest responsible bidder. If the lowest responsible bidder fails to execute the contract within the allotted time, then the city council may award the contract to the next lowest responsible bidder. In such event, the bidder's security of the lowest responsible bidder shall be applied to the difference between the low bid and the next lowest bid and any surplus shall be returned to the lowest responsible bidder.

G. Tie Bids. If the lowest monetary bid is submitted by multiple responsive bidders, then the city council may award the purchase contract to the lowest responsible bidder that it deems appropriate. Alternatively, the city council may accept the lowest bid made by negotiation with the tie bidders at the time of the bid opening.

H. Performance Bonds. When deemed necessary, the city council may require a performance bond as a condition to the award of a purchase contract. If a performance bond is required, then the form and amount of the bond shall be described in the bid invitation notice.

(Ord. 1515)

A. Requirement. Except as otherwise provided in this chapter, purchases of supplies and equipment having an estimated value less than $20,000 shall be made by written contract pursuant to the applicable procedure set forth in this section.

B. Low Tier Purchases. The purchasing officer may purchase supplies and equipment having an estimated value not more than $1,000 by soliciting a single vendor.

C. Middle Tier Purchases. The purchasing officer may purchase supplies and equipment having an estimated value in excess of $1,000 and not more than $5,000 by soliciting verbal bids from at least 3 vendors. The purchase contract shall be awarded to the vendor offering the lowest acceptable quotation.

D. High Tier Purchases. The purchasing officer may purchase supplies and equipment having an estimated value in excess of $5,000 and not more than $20,000 by soliciting written bids from at least 3 vendors. The purchase contract shall be awarded to the vendor offering the lowest acceptable quotation.

(Ord. 1515)

The purchasing officer shall inspect purchased supplies and equipment to determine their conformance with the specifications set forth in the purchase contract. The purchasing officer may require chemical and physical tests of samples.

(Ord. 1515)

A. The city council may award a contract for the purchase of supplies and equipment without satisfaction of the bid requirements of this chapter upon making a finding that, due to the circumstances applicable to the particular purchase, the net cost to the city will be reduced by dispensing with bidding. Such finding shall be set forth in a resolution authorizing the waiver of the bid requirements.

B. The city council may award a contract for the purchase of supplies and equipment to other than the lowest responsible bidder upon making a finding that, due to the circumstances applicable to the particular purchase, the net cost to the city will be reduced by selection of a different vendor. Such finding shall be set forth in a resolution authorizing the waiver of the lowest responsible bidder requirement.

(Ord. 1515)