3.08 — PURCHASING SYSTEM

The City Manager, and his or her designee, is authorized to enter into the following types of contracts:

• a. Contracts required of an applicant as a condition of approval of a permit, license, or other grant of approval not involving expenditure of city funds;

• b. Contracts involving the allocation of county, state or federal funds pursuant to a program previously approved by the City Council where the form of contract is standard and used in substantially the same form by all applicants and has been approved by the City Attorney;

• c. Contracts involving the expenditure of city funds where:

  1. The funds are used in connection with residential or commercial revitalization of private property,

  2. The program and its budget have been approved by the City Council,

  3. The funds are used in connection with grants that are allocated on a first-come, firstserve basis in accordance with established criteria,

  4. The same or substantially the same contract is used in all cases,

  5. The form of the contract has been approved by the City Attorney;

• d. Contracts for services for a sum not to exceed $75,000 for which funds have been budgeted in the current year budget and where the form of the contract has been approved by the City Attorney;

• e. Contracts or amendments to contracts which the City Council has expressly authorized the City Manager to execute; and

• f. Amendments to contracts previously approved by the City Council not involving expenditure of city funds, or modifying the duration and/or amount of the contract in strict accordance with a specific line item in the approved city budget.

(Prior code § 2700; Ord. 97-505 § 2, 1997; Ord. 01-605 § 1, 2001; Ord. 20-1102 § 1, 2020)

Any contract made or purportedly made by any city official or employee or other person acting on behalf of the city shall not be an obligation of the city unless made in accordance with the provisions of this section, except as otherwise provided in this code.

• a. All contracts shall be in writing and shall be signed by a person authorized by state law, this code or an ordinance, resolution, motion or contract adopted or approved by the City Council. No oral contract shall become an obligation of the city.

• b. For the purposes of this section, the term "contract" shall refer to any agreement, contract, lease, promise, or other obligation to which the city is, or is alleged to be, a party and shall

Downloaded from https://ecode360.com/WE5031 on 2026-07-07

City of West Hollywood, CA

REVENUE AND FINANCE

§ 3.08.015

§ 3.08.035

include, but not be limited to, any contract for equipment, supplies, services, financing, or public works.

• (Ord. 20-1104 § 1, 2020)

• a. The city shall not enter into a contract for any purpose with:

  1. Any person or business that complies with the Arab League boycott of Israel except as provided in this section. All such firms that are in compliance with the boycott of Israel shall be disqualified from submitting a bid or proposal to the city for any purpose and all such requests for proposals or bids published by the city shall contain a clause so stating, except as provided for in this section. All firms and entities which seek to do business with the city shall disclose whether they honor the Arab League boycott of Israel.

  2. Any person doing business in Myanmar or with the government of Myanmar except as provided in this section. The city shall not purchase commodities produced in Myanmar or provided by any person doing business in Myanmar or with the government of Myanmar. All persons doing business in Myanmar or with the government of Myanmar shall be disqualified from submitting a bid or proposal to the city for any purpose and all such requests for proposals or bids published by the city shall contain a clause so stating, except as provided in this section. All persons seeking to do business with the city shall disclose whether they do business in Myanmar or with the government of Myanmar and, if so, shall provide a description detailing the nature and extent of such business.

• b. For the purposes of this section, "person" includes any individual, firm, corporation, bank, savings and loan association or any other entity, or any subsidiary substantially owned by any such person.

• c. The City Manager may allow exceptions to this section upon finding that the special characteristics of the commodity or service offered make the commodity or service necessary for the efficient operation of the city or the health, safety and welfare of the public, and no comparable commodity or service is available from a person not in violation of this section after a reasonable search at a reasonably comparable price.

• d. The determination by the City Manager shall be set forth in a written report, and shall specify the nature of the market search conducted, the reason why the product is required by the city, the cost variance involved, and the basis for selecting the particular firm.

• e. This report shall, in the case of each exception, be provided to the City Council and in the case of purchases or contracts for professional services in excess of $5,000, the report shall be provided to the Council prior to the selection of the firm.

• (Prior code § 2701; Ord. 97-505 § 2, 1997)

The City Manager shall make a good faith effort when the city solicits bids for contracts for services to solicit bids from local service providers. (Prior code § 2702; Ord. 97-505 § 2, 1997)

Downloaded from https://ecode360.com/WE5031 on 2026-07-07

City of West Hollywood, CA § 3.08.035

WEST HOLLYWOOD CODE

§ 3.08.035

• a. Definitions. For the purposes of this section:

"Contract" means a legal agreement between the city and a contractor for services, purchase of supplies, equipment or material, or for construction of public works for which the consideration is in excess of $25,000.00. "Contract" does not include subcontracts or subcontractors of any contract or contractor.

"Contractor" means any private party or entity that enters into a contract with the city. In the event the contractor is an entity that has been formed exclusively to provide services to the city or within the State of California, then the term "contractor" shall also include that entity's parent company(ies).

"Contract awarding authority" means the City Council or the individual authorized by the City Council to enter into contracts on behalf of the city.

"Domestic partner" means any person who is registered as a domestic partner with the Secretary of State, State of California registry or the registry of the state in which the employee is a resident.

"Employee benefits" means the provision of any benefit provided to spouses of employees or provided to an employee on account of the employee having a spouse and which benefit is provided by the City of West Hollywood and covers the domestic partners of its employees, including; bereavement leave, family medical leave, and health insurance benefits, provided that it does not include benefits to the extent that the application of the requirements of this chapter to such benefits may be preempted by federal or state law.

• b. Every contract, and every amendment to or extension of a contract, to which the city is a party shall provide that the contractor shall not discriminate in the provision of employee benefits between an employee with a spouse and an employee with a domestic partner, subject to the following:

  1. In the event that the contractor's actual cost of providing a particular benefit for the domestic partner of an employee exceeds that of providing it for the spouse of an employee, or the contractor's actual cost of providing a particular benefit to the spouse of an employee exceeds that of providing it for the domestic partner of an employee, the contractor shall not be deemed to discriminate in the provision of employee benefits if the contractor conditions providing such benefit upon the employee's agreement to pay the excess costs.

  2. The contractor shall not be deemed to discriminate in the provision of employee benefits if, despite taking reasonable measures to do so, the contractor is unable to extend a particular employee benefit to domestic partners, so long as the contractor provides the employee with a cash payment equal to the contractor's cost of providing the benefit to an employee's spouse.

• c. The requirements of this section shall apply to the provision of benefits to all of a contractor's employees within the United States, the territories of the United States and the District of Columbia.

• d. A contractor that does not comply with the requirements of this section shall not be considered eligible or qualified. Refusal of a contractor to agree to the contract provision described in subsection (b) of this section shall be grounds for rejection of a bid or proposal

Downloaded from https://ecode360.com/WE5031 on 2026-07-07

City of West Hollywood, CA

REVENUE AND FINANCE

§ 3.08.035

§ 3.08.036

as non-responsive. Failure of a contractor to comply with the contract provision described in subsection (b) of this section shall be grounds for termination of the contract and disqualification from entering into future contracts with the city.

• e. The contract awarding authority may waive the requirements of subsection (b) of this section under the following circumstances:

  1. Award of the contract is necessary to respond to an emergency;

  2. The contractor is a sole source;

  3. No compliant contractors are capable of providing goods or services that respond to the city's requirements;

  4. The requirements are inconsistent with a grant, subvention or agreement with a public agency;

  5. The city is purchasing through a cooperative or joint purchasing agreement.

• f. The City Manager shall have the authority to promulgate rules, regulations and procedures as may be necessary to effectuate the purpose of this section.

• (Ord. 03-662 § 1, 2003)

• a. Filing a Bid Protest.

  1. A bidder on a city public works project or any other interested person may object, by following the procedure provided in this section, to the award of the contract for the project to the person or entity that submitted the low bid based on grounds that the low bidder is not responsible or that the bid is not responsive.

  2. The apparent low bidder on a city public works project may object, by following the procedure provided in this section, to the city staff's determination that its bid is not responsive or that it is not a responsible bidder.

  3. A bid protest as described in both paragraphs (1) and (2) above shall be filed in writing with the City Clerk and shall set forth the reasons for the objection. Any documents which support the objection must be filed together with the protest.

  4. A bid protest as described in paragraph (1) above shall be filed with the City Clerk no later than seventy-two hours after the opening of the bids.

  5. A bid protest as described in paragraph (2) above shall be filed with the City Clerk no later than seventy-two hours after city staff informs the apparent low bidder by email or facsimile that it intends to recommend that its bid be rejected and the contract awarded to another bidder.

• b. Notice of Hearing of Protest.

  1. Upon receipt of a protest challenging a low bidder pursuant to paragraph (a)(1) of this section, the City Clerk shall mail and fax or email a copy of the protest to the low bidder, together with any supporting documents filed with the protest, along with a statement advising the low bidder of the date, time, and place when and where the

Downloaded from https://ecode360.com/WE5031 on 2026-07-07

City of West Hollywood, CA § 3.08.036

WEST HOLLYWOOD CODE

§ 3.08.036

City Council will meet to consider the bids received in connection with the project. The notice shall advise the low bidder that it may appear at the City Council meeting and that it will be given an opportunity at that meeting to rebut the charges made in the protest. The City Clerk shall also send a letter to the person who protested the award of the contract, advising of the date, time, and place when and where the City Council will meet to consider the bids and the protest. Multiple protests will be consolidated and considered concurrently.

2. Upon receipt of a protest by an apparent low bidder challenging the staff's determination that it is not responsible or that its bid is not responsive pursuant to paragraph (a)(2) of this section, the City Clerk shall mail and fax or email a letter advising the apparent low bidder of the date, time, and place when and where the City Council will meet to consider the bids received in connection with the project and advising the apparent low bidder that it may appear at the City Council meeting and that it will be given an opportunity at that meeting to rebut the staff's determination that it is not a responsible bidder or that its bid is not responsive.

apparent low bidder of the date, time, and place when and where the City Council will meet to consider the bids received in connection with the project and advising the apparent low bidder that it may appear at the City Council meeting and that it will be given an opportunity at that meeting to rebut the staff's determination that it is not a responsible bidder or that its bid is not responsive.

• c. Hearing the Bid Protest. At the hearing, the City Council shall follow the following procedure:

  1. At the time set for consideration of the bids received in connection with the project, the City Council shall first hear a staff report.

  2. Following the staff presentation, in the case where another bidder or interested person is protesting the low bid, the City Council will allow the protester to make its presentation, and then the Council will allow the low bidder to rebut the arguments and evidence produced by the protester.

  3. In the case where staff is recommending rejection of an apparent low bid, the apparent low bidder will be allowed to present evidence rebutting the staff's recommendation.

  4. The City Council may, in its discretion, permit rebuttals and surrebuttals by the parties. The City Council is not required to abide by formal rules of evidence.

  5. At the conclusion of the hearing, the City Council will decide which bidder is the lowest responsible bidder based on the evidence produced at the hearing and award the contract to that bidder or, alternatively, exercise its right to reject all bids.

  6. In deciding whether a bidder is "responsible," the City Council must consider the bidder's trustworthiness, and the quality, fitness and capacity of the bidder to satisfactorily perform the work required to be performed for the project. Evidence of pervasive and significant violations of the prevailing wage laws of the State of California by the bidder on a city project or on public works projects involving other public agencies must warrant a finding by the City Council that the bidder is not responsible. In deciding whether a bid is responsive, the City Council must determine that the bid is complete, responsive to the bid instructions and does not contain any nonwaivable defects.

(Ord. 09-803 § 1, 2009)

Downloaded from https://ecode360.com/WE5031 on 2026-07-07

City of West Hollywood, CA

REVENUE AND FINANCE

§ 3.08.040

§ 3.08.060

PART B PURCHASING SYSTEM

It shall be the policy of the city to obtain, where practical, supplies and equipment of the highest quality for the lowest cost.

(Prior code § 2703; Ord. 97-505 § 2, 1997)

The authority and responsibility for the purchase of supplies and equipment for the city shall be vested in the City Manager or a person acting pursuant to written authorization of the City Manager. The City Manager shall purchase supplies and equipment in accordance with the procedures prescribed in this chapter.

(Prior code § 2704; Ord. 97-505 § 2, 1997)

• a. Purchases of supplies and equipment of an estimated value of greater than $25,000 shall be by written contract with the lowest responsible bidder after notice. Such notice shall invite sealed bids, include a general description of the supplies or equipment to be purchased, state where bid forms and specifications may be obtained and specify the time and place of the opening of bids.

• b. Such notice shall be published in a newspaper of general circulation printed and published in the city, of if there is none, it shall be posted in not less than three public places in the city designated by ordinance for the posting of public notices. The City Manager shall also mail a copy of such notice to anyone who has requested to be so notified.

• c. All notices pursuant hereto shall be published, posted or mailed, as the case may be, not less than ten days prior to the date specified for the opening of bids.

• d. When deemed necessary by the City Council, bidder's security may be prescribed in the public notices inviting bids. Bidders shall be entitled to the return of bid security provided that a successful bidder shall forfeit its bid security upon refusal or failure to execute the contract within ten days after the notice of award of contract has been mailed, unless the city is responsible for the delay. 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 bidder, the amount of the lowest bidder's security shall be applied by the city to the difference between the low bid and the second lowest bid, and the surplus. if any, shall be returned to the lowest bidder.

• e. Bids shall be submitted to the City Manager and shall be so identified on the envelope. Bids shall be opened at the time and place specified in the notice inviting sealed bids. Copies of all bids received by the City Manager shall be retained by the City Clerk for public inspection during regular business hours for not less than two years following the bid opening.

• f. The City Council may reject any and all bids, may waive any irregularity in any bid, and may re-advertise for bids.

Downloaded from https://ecode360.com/WE5031 on 2026-07-07

City of West Hollywood, CA

WEST HOLLYWOOD CODE

§ 3.08.060

§ 3.08.100

• g. In the event that the City Council decides to award the contract, the contract shall be awarded to the lowest responsible bidder except as otherwise provided herein.

• h. If two or more bids received are for the same total amount or unit price, the City Council may accept any one of such bids or may accept the lowest bid made by negotiation with such bidders following the bid opening.

• i. The City Council shall have the authority to require a performance bond before entering into a contract in such amount as it shall find reasonably necessary to protect the best interests 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.

(Prior code § 2705; Ord. 97-505 § 2, 1997; Ord. 01-605 § 2, 2001)

Purchases of supplies and equipment of an estimated value of $75,000 or less may be made by the City Manager. Purchases up to $25,000 may be made on the open market after solicitation of proposals from prospective sellers in accordance with administrative regulations promulgated by the City; purchases over $25,000 and up to $75,000 shall be made pursuant to Section 3.08.060 above.

(Prior code § 2706; Ord. 97-505 § 2, 1997; Ord. 01-605 § 3, 2001; Ord. 20-1102 § 2, 2020)

Sections 3.08.060 and 3.08.070 shall not apply to the purchase of supplies and equipment under the following circumstances:

• a. Such supplies or equipment are of an estimated value of less than $2,500;

• b. Such supplies or equipment are unique because of their quality, durability, availability, or fitness for a particular use;

• c. Such supplies or equipment are available from only one source;

• d. The City Manager has determined that exigent circumstances require the immediate purchase of such supplies or equipment;

• e. Such supplies or equipment are provided by an independent contractor pursuant to an agreement with the city for the furnishing of labor and materials for other than the construction of a public works project;

• f. Purchases made through a cooperative purchasing program utilizing purchasing agreements maintained by the state, county or other public agencies.

• (Prior code § 2707; Ord. 97-505 § 2, 1997; Ord. 01-605 § 4, 2001; Ord. 08-798 § 1, 2008)

The City Manager shall inspect supplies and equipment delivered to determine their conformance with the specifications set forth in the order or contract. The City Manager 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. (Prior code § 2708; Ord. 97-505 § 2, 1997)

Downloaded from https://ecode360.com/WE5031 on 2026-07-07

City of West Hollywood, CA § 3.08.100

REVENUE AND FINANCE

§ 3.08.110

All contractors contracting with the city pursuant to this chapter shall comply with the provisions of Chapters 9.28 through 9.44 of this code, prohibiting discrimination. (Prior code § 2709; Ord. 97-505 § 2, 1997)

Notwithstanding the requirements of Section 3.08.060, a local preference may be granted in the purchase of supplies and equipment by the city, pursuant to the following provisions.

• a. Definition. Whenever used in this section, the phrase "local bidder/vendor" shall mean a business, firm, or enterprise with fixed offices or locally taxable distribution points within the city, which holds a valid business license, issued by the city, and bearing a street address within the city.

• b. Local Preference. In awarding purchase orders and contracts for supplies and equipment, the city may grant a preference of four percent to local bidder/vendors. The bids of all local bidder/vendors shall be reduced by four percent prior to determining the lowest bidder. The preference shall not exceed $5,000 for any single purchase order or contract.

• c. Identical Bids. If after applying the preference provided for in subsection (b) of this section, identical bids are submitted by a local bidder/vender and a bidder who is not local, the contract shall be awarded to the local bidder/vendor. Identical bids by two or more local bidder/vendors shall be determined by the toss of a coin.

• d. Exceptions. Notwithstanding the foregoing, the provisions of this section shall not apply under any of the following circumstances:

  1. When application of the provisions of this section is prohibited by state or federal law or the requirements of a state or federal grant;

  2. When a contract with the city to purchase supplies and equipment will be funded in whole or in part by donations or gifts to the city, to the extent that the provisions of this section would conflict with any conditions attached by the donor of the donation, provided that the donation and any conditions attached to it have been accepted and approved by the City Council;

  3. When the City Manager determines that a contract with the city to purchase supplies and equipment results from exigent circumstances, and also determines either that any delay in the execution or performance of the contract would jeopardize the public health, safety, or welfare of the citizens of the city, or that the operational effectiveness of a significant municipal function would be seriously threatened if the contract were not entered into expeditiously.

• e. Good Faith Effort to Contact Local Merchants. The city shall make a good faith effort when soliciting bids for supplies or equipment to solicit bids or proposals from local merchants.

• f. City Manager Authorization. The City Manager, or designee, may promulgate rules and regulations to implement the provisions of this section.

• g. Enforcement and Penalties. In the event that the City Manager, or designee, makes a

Downloaded from https://ecode360.com/WE5031 on 2026-07-07

City of West Hollywood, CA § 3.08.110

WEST HOLLYWOOD CODE

§ 3.08.110

finding that a bidder for a contract has made an intentional misstatement in order to obtain a local merchant preference under regulations adopted pursuant to this section, the bidder may be subject to any remedy available to the city at law or equity.

1. A finding by the City Manager, or designee, that a bidder for a contract has made an intentional misstatement in order to obtain a local merchant preference shall be regarded by the City Council as a basis for determining whether the bidder is a responsible bidder for the present contract or for future contracts.

2. A bidder who has been disqualified as a responsible bidder by a determination of the City Council, based on a finding by the City Manager, or designee, that the bidder made an intentional misstatement in order to obtain a local merchant preference, shall be disqualified from bidding on all contracts with the city for a period of not less than one year from the date of the disqualification, as determined by the City Council.

(Prior code § 2710; Ord. 97-505 § 2, 1997)

Downloaded from https://ecode360.com/WE5031 on 2026-07-07

City of West Hollywood, CA

REVENUE AND FINANCE

§ 3.12.010

§ 3.12.050