Upland Municipal Code Ch. 2.48 Purchasing

A purchasing system is adopted in order to establish efficient procedures for the purchase of supplies, equipment and services; to secure for the city supplies, equipment and services at the lowest possible cost commensurate with quality needed and with due consideration to disposability; to exercise financial control over purchases; to define authority for the purchasing function; to assure the quality of purchases; and to buy without favor or prejudice.

(Prior code § 2800)

As used in this chapter, the following words and terms are defined as follows unless the context indicates that a different meaning is intended:

"Agency or using department"

means and includes employees and officials, whether elective or appointive of the city and any of the departments, offices, or other organizational units, whose affairs and funds are under the supervision and control of city council or for which the city council is the governing body.

"Local bidder"

means a firm or individual who has regularly maintained a place of business in, or maintained an inventory of merchandise for sale in, and is licensed by, or pays business license fees to, the city.

"Lowest responsible bidder"

means the bidder with the lowest price, whose past performance, reputation, and financial capability is deemed acceptable. The lowest responsible bidder will be determined after the following factors have been considered:

The ability, capacity and skill of the bidder to provide the service or commodity required and to comply with all specified requirements in the bid document;

Whether the bidder has the facilities to perform the contract or provide the service promptly, or within the time specified, without delay or interference;

The experience and efficiency of the bidder;

The bidder's record of performance of previous contracts or services with the city or other public agencies;

The previous and existing compliance by the bidder with laws and ordinances relating to the contract or service;

The sufficiency of the financial resources and ability of the bidder to perform the contract or provide the services;

The quality, availability and adaptability of the supplies, equipment or service to the particular use required;

The ability of the bidder to provide future maintenance and service for the use of the subject of the contract;

The number and scope of conditions attached to the bid.

"Professional services"

means the services of attorneys, physicians, architects, engineers, consultants, auditors, specialized printers, or other individuals or organizations possessing a high degree of professional, unique, specialized, or technical skill or expertise, not adaptable to competitive bidding, or where the service involves a contract for special activities, negotiations for the acquisition of land, trash services, insurance, bonds or any other service of a similar nature to the above, engaged for a particular project or series of projects.

"Purchases"

means the buying of supplies, equipment, services and personal property, and shall include leases and rentals.

"Purchasing official"

means the person designated by the city manager as the head, and general supervisor of, the purchasing division.

"Purchasing coordinator"

means the person designated by the purchasing official for accomplishment of the daily procedures required for standard administration of this chapter.

"Purchasing policy limits"

means such limits which shall be those amounts which determine purchase procedures. Such purchase limits shall be established by a resolution of the city council.

"Services"

means any and all services, including, but not limited to, equipment service contracts; work performed to meet a demand, especially work not connected with a manufacturing process. The term does not include services rendered by city officers or employees, nor professional or other contractual services for which the procedure for procurement is specifically provided by law or approved city procedures or are in their nature unique and not subject to competition.

"Supplies and equipment"

means any and all articles or things which shall be furnished to or used by any department.

(Prior code § 2800.1)

There is created a purchasing division within the city which is vested with the authority for the centralized purchase of supplies, equipment and services.

(Prior code § 2800.2)

There is created the position of purchasing official, who shall be appointed by the city manager, subject to approval of the city council. The purchasing official shall be the head, and have general supervision of the purchasing division. The duties of the purchasing official may be combined with those of any other office or position. The purchasing official shall establish methods and procedures for the efficient and economic functioning of the purchasing program.

(Prior code § 2800.3)

The purchasing official shall have the authority to:

A. Purchase or contract for supplies, materials, equipment and services required by using departments in accordance with the purchasing procedures prescribed by this chapter, such administrative procedures as the purchasing official 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, the city manager or as otherwise provided by law.

B. Enter into any contract permitted by law, including, but not limited to, equipment service contracts, lease purchase agreements and rental agreements, subject to any restrictions set forth in this chapter or specifically provided by law.

C. Maintain, if feasible, full and open competition among bidders on all purchases.

D. Prepare, recommend and implement rules governing the purchase of supplies, equipment, and services for the city and recommend revisions and amendments where applicable.

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

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

G. Recommend the transfer of surplus or unused supplies and equipment between departments as needed and the sale of all supplies and equipment which cannot be used by any department or which becomes unsuitable for city use.

H. Maintain a vendor's list and records.

I. Manage and supervise all inventories and storage of common use items, and set forth procedures to ensure for their safekeeping and handling.

(Prior code § 2800.4)

The purchasing official may authorize, in writing, any department to purchase or contract for certain specified supplies, equipment, or services independently of the purchasing division, but such purchases shall be made in conformity with the procedures established by this chapter. The purchasing official may also rescind such authorization to purchase independently by written notice to the department or departments concerned, unless otherwise prohibited by law. This chapter does not apply to contracts to print legal notices, contracts for professional and other services, or items which are in their nature unique and not subject to competition, or other services for which by law another officer or body is specifically charged with obtaining.

(Prior code § 2800.5)

All departments shall submit requests to the purchasing official by standard requisition form or by other means as may be established by purchasing procedures for the supplies, materials, equipment and services as required for their operations and purposes and within the limits of funds appropriated therefor. The purchasing official, after reviewing such, may require from the requesting department justification of the quality or quantity requisitioned.

(Prior code § 2800.6)

Purchases of supplies and equipment shall be by bid process pursuant to Sections 2.48.090 and 2.48.100 of this chapter. Bidding may be dispensed with under the authority of Section 2.48.050(A) of this chapter when no public work of a total value in excess of the public works bidding limit is involved and one of the following conditions pertains:

A. When an emergency requires that an order be placed with the nearest available source of supply.

B. When the amount involved is less than the open market amount established by resolution of the city council.

C. When the commodity can be obtained from only one vendor. A commodity shall be considered obtainable only from one vendor when only one vendor offers it for sale, lease or rental, or when only one vendor is able to do so within the time frame and/or under the terms and conditions which reasonably meet the needs of the using agency, or when there is a sole distributor or manufacturer of a product or service such that there is no acceptable substitute within a specific geographical area.

D. When there is to be a contract for professional services such as, but not limited to, the services of attorneys, architects or engineers, or where the service contracted for deals with public relations or promotions, elections, negotiations, or acquisition of land, trash, garbage or refuse disposal or the like, insurance, bonds and any other services or similar nature unique and not subject to competition or other services for which by law another officer or body is specifically charged with obtaining.

E. When, through cooperative purchasing with the state, the county, and other public agencies, the advantages of large-scale buying may be obtained.

F. When the purchase is beneficial to the interest of the city and is from a supplier who has been awarded a specific item or items in a contract resulting from a formal competitive bid process by another governmental agency within the state of California or by the federal government.

G. When purchasing from or selling to another governmental agency when such action is beneficial to the interests of the city.

H. When the city council determines by resolution it would be in the best interest of the city to dispense with bidding; provided, however, that the city council shall state the basis of its determination.

I. When there is a breakdown in essential machinery, essential services, or when unforeseen circumstances arise including delays by contractors, delays in transportation, and unanticipated volume of work which requires the immediate attention of a professional or immediate service/repair in order to protect public health, safety, property or welfare.

(Prior code § 2800.7))

Except as otherwise provided in this chapter, purchases of supplies, equipment or services of an estimated value greater than the amount established by resolution shall be by written contract with the lowest or highest, as the case may be, responsible bidder pursuant to the procedure prescribed in this section.

A. Notice Inviting Bids. Notices inviting bids shall include a general description of the article(s) to be purchased or sold, shall state where bid blanks and specifications may be secured, and the time and place for opening bids.

1. Posted Notices. Notices inviting bids shall be posted at least 10 days before the date of the bid opening on the city's website. Notices inviting bids, requests for proposals, or requests for qualifications for professional services may be posted, as available, during the solicitation process, if applicable.

B. Bidder's Security. When deemed necessary by the purchasing official, bidder's security may be prescribed in the public notices inviting bids. Bidders shall be entitled to return of bid security; provided, however, that a successful bidder shall forfeit the bid security upon refusal or failure to execute the contract within 10 days after the notice of award of the contract has been mailed unless, in the latter event, 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. If the city council awards the contract to the next lowest responsible bidder, the amount of the lowest bidder's security differential shall be applied by the city to the contract price differential between the lowest and second lowest bid, and the surplus, if any, shall be returned to the lowest bidder. If the city council rejects the remaining bids presented and re-advertises, the amount of the lowest bidder's security may be used to offset the cost of receiving new bids and the surplus, if any, shall be returned to the lowest bidder.

C. Bid Opening Procedure. Sealed bids shall be submitted to the purchasing official and shall be identified as "bid" on the envelope. Alternatively, bids and proposal submissions may be submitted electronically through the electronic bidding system that the city utilizes, unless the purchasing official determines otherwise. Bids shall be opened in public at the time and place stated in the public notice. A tabulation of all bids received shall be open for public inspection during regular business hours for a period of not less than 30 calendar days after the bid opening.

D. Rejection of Bids. In its discretion, the city council may reject any and all bids presented, re-advertise for bids or authorize the purchasing official to award a contract after negotiation for the most reasonable cost under existing conditions. The right to reject any or all bids is expressly reserved to the city. The decision of the city council shall be final.

E. Award of Contracts. Except as otherwise stated in this section, contracts shall be awarded to the lowest responsible bidder. Contracts which involve public works exceeding the bid limits or are formally bid shall be awarded by the city council.

F. Tie Bids. If two or more bids received are for the same total or unit price, quality and service being equal, the city council may, at its discretion, accept the one it chooses or accept the lowest bid made by negotiation with the tied bidders.

G. Performance Bonds. The city council shall have authority to require a performance bond before entering into a contract in such amount as it shall find reasonably necessary to protect the best interest of the city. If the city council requires a performance bond, the form and amount of the bond shall be described in the notice inviting bids and the form of the bond shall be as determined by the city attorney.

H. Waiver of Defects. The city council shall have the right to waive any irregularities or informalities in the bidding or in the procedures as set forth in this chapter. No irregularity or informality shall void any contract.

(Prior code § 2810; Ord. 1997, 6/9/2025)

Purchases of supplies, equipment, and services of a value less than so stated by resolution may be made by the purchasing official by the informal bid process pursuant to the procedure prescribed in this section and without observing the procedure described in Section 2.48.090 of this chapter; provided, however, all bidding may be dispensed with for purchases of supplies, equipment and services having a value of less than the informal bid amount established by resolution of the city council pursuant to Section 2.48.080(B) of this chapter.

A. Minimum Number of Bids. Informal bid purchases shall, whenever possible, be based on at least three bids. Upon examination of all bids and determination of the most competitive bidder, the purchase order shall be awarded to the lowest responsible bidder.

B. Notice Inviting Informal Bids. The purchasing official may solicit informal bids by written request to prospective vendors, via fax machine, by telephone, or by any other means deemed effective.

C. Written Bids. Written informal bids shall be submitted to the purchasing official, who shall keep a record of all informal bid orders and bids for a period of two years after the submission of bids or the placing of an order. This record, while so kept, shall be open to public inspection.

D. Waiver of Defects. The purchasing official shall have the right to waive any irregularity or informality.

(Prior code § 2820)

Public works projects as defined by the California Public Contract Code shall be bid, advertised and awarded in accordance with applicable sections of the California Public Contract Code.

(Prior code § 2830.1)

Inspections will be the responsibility of the receiving department and costs of inspection will be borne by the department requesting the purchase, except for those items placed in stock. Supplies and equipment delivered, or contractual services performed, shall be inspected to determine their conformance with the specifications set forth in the order or contract. The purchasing official or receiving department 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 the specifications.

(Prior code § 2830.2)

A. Any provision of this chapter to the contrary notwithstanding, supplies, equipment, and/or services may be purchased from other than the lowest responsible bidder in any case in which the city council shall find that, in light of all circumstances applicable to the particular purchase, including, but not limited to, location of the vendor and the amount of staff time required for contract administration, the city will acquire the purchase at lower net cost by effecting its purchase from a party other than the lowest responsible bidder.

B. Local preference is desirable because it stimulates the local economy. All orders/ contracts are awarded on the basis of quality, previous performance, ability to meet the contract requirements, availability of service and parts, delivery schedule, and payment terms/discounts. When all these factors are equal except price, a preference will be given to local vendors equal to five percent or less (up to $1,000.00) of the quoted price. The rationale is that the sales tax returns to the city general fund as revenue, effectively reducing the cost.

(Prior code § 2830.3)

The city manager or designee, with the approval of the city council, may contract for supplies, equipment, services or leases without observing the procedures required in this chapter regardless of the estimated value of such supplies, equipment, services or leases when the best interest of the city would be served thereby. Whenever the council approves the purchase of supplies, equipment, services or leases without observing the procedures required in this chapter, the city council may require that the purchasing official solicit informal bids under such conditions and limitations as the city council may impose. This exemption section shall not apply to any public work of a total value which exceeds the public works bidding limits.

(Prior code § 2830.4)

All using departments shall submit to the purchasing official, at such times and in such forms as the purchasing official shall prescribe, but at least every two years, reports showing all supplies and equipment which are no longer used or which have become obsolete or worn out. The purchasing official shall have authority to exchange for or trade in on new supplies and equipment all supplies and equipment which have become unsuitable for city use.

A. Such items so declared to be surplus shall be offered for sale on a competitive bid basis. Bids may be solicited by written request, telephone, fax machine, by public auction, by use of an auction service, by advertisement in any newspaper or magazine, or by any combination of such methods.

B. When, after a reasonable effort has been made to obtain competitive bids, no offers are received for any item or city-owned personal property so declared to be surplus, the purchasing official is authorized to dispose of such item for the highest scrap value that can be obtained therefor and if a reasonable effort to do so produces no opportunity to sell the same for scrap, the purchasing manager may cause its destruction or any other disposition thereof.

C. The city may sell obsolete or surplus property to any other tax-supported governmental agency at an established fair market value without other bids.

D. The city may dispose of surplus personal property determined in the judgment of the purchasing official, or his or her designee, to be of negligible value in the normal course of business.

(Prior code § 2830.5; Ord. 1980 § 4, 2023)

If any agency purchases or contracts for supplies, materials, equipment or contractual services contrary to the provisions of this chapter, that purchase, order or contract will be void and of no effect. It is unlawful for any agency to split its requirements for supplies, materials, equipment, or contractual services into estimated amounts of less than the amount cited by resolution of the city council for the purpose of evading the provisions of this chapter.

(Prior code § 2830.6)

The public works director and city engineer, or their designees, are each authorized to review and approve engineering plans for all public works projects for purposes of design immunity pursuant to Government Code Section 830.6. This shall include the working details, drawings, plans and specifications prepared for every public works project, including emergency and change order work, which may affect the design or operation of public improvements and which may bring into question the city's liability for dangerous conditions of public property.

(Ord. 1955 § 2, 2021)

A. Informal Bid Procedures. Public projects, as defined by the Uniform Public Construction Cost Accounting Act (the "Act") and in accordance with the limits listed in Section 22032 of the Public Contract Code, may be let to contract by informal procedures as set forth in Section 22032, et seq., of the Public Contract Code.

B. Contractors List. The city shall compile and maintain a list of qualified contractors identified according to categories of work. The list shall comply with the requirements of the Act and the criteria promulgated, from time-to-time, by the California Uniform Construction Cost Accounting Commission.

C. Notice Inviting Informal Bids. Where a public project is to be performed which is subject to the provisions of this section, a notice inviting bids shall be circulated using one or both of the following alternatives:

1. Notices inviting formal bids may be mailed, or emailed to all contractors for the category of work to be bid, as shown on the list developed in accordance with subsection B of this section.

2. Notices inviting informal bids may be mailed to all construction trade journals as specified by the California Construction Cost Accounting Commission in accordance with Section 22036 of the Public Contract Code. Additional contractors and/or construction trade journals may be notified at the discretion of the department soliciting bids, provided however:

a. If the product or service is proprietary in nature such that it can be obtained only from a certain contractor or contractors, the notice inviting informal bids may be sent exclusively to such contractor or contractors.

D. Award of Contracts. The city manager, or designee, is authorized to award informal contracts pursuant to this section.

(Ord. 2000, 9/8/2025)