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Item 7 - Ord/Pub.Contract.Code
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Item 7 - Ord/Pub.Contract.Code
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6/9/2010 12:54:47 PM
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2/23/2005 3:28:38 PM
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Agenda Item Summary
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2/28/2005
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No Favoritism. Award to lowest of 3 or more quotes, prevents selection based on <br />favoritism. Willingness of any particular contractor to submit a quote will depend on the <br />contractor's schedule at the time of the solicitation. It is unlikely that the same <br />contractor will be able to submit a quote for every solicitation. The ability of the city to <br />obtain quotes for projects with short lead times, will depend on the schedules of <br />contractors and therefore the city will not be able to obtain quotes from the same <br />contractors over and over again. <br /> <br />Other Factors. Section 132 of Chapter 794, Oregon Laws, 2003 created this class of <br />contracts as a special award class under the code, however, the class expires on June <br />30, 2009. By adopting this classification as a contract review board exemption, the <br />statutory classification will be protected from automatic repeal. <br /> <br />Statutory Requirements. Based on the foregoing: <br /> <br /> 1. It is unlikely that the exemption will encourage favoritism in the awarding <br />of public improvements contracts or substantially diminish competition for public <br />improvement contract; and <br /> <br /> 2. The awarding of public improvement contracts under the exemption will <br />result in substantial cost savings to the city through (i) a reduction in solicitation <br />expenses and (ii) lower contract prices. <br /> <br />2.1430(2)(c) Transportation public improvements up to $50,000. Contracts for which <br />the estimated contract price does not exceed $50,000, for highways, bridges or other <br />transportation projects may be awarded using an informal solicitation for quotes in <br />accordance with rules adopted by the purchasing agent. <br /> <br />Alternate Award Process. The informal solicitation procedure for this class of <br />contracts requires the solicitation agent to obtain at least 3 written price quotes. <br />Contracts will be awarded based on price. <br /> <br />Cost Savings and Other Benefits. The informal solicitation process provides the <br />following benefits: <br /> <br /> 1. Reduction in staff time. <br /> <br /> 2. Reduced bidding expenditures <br /> <br /> 3. Elimination of bid bond requirement and smafl cost of quote preparation as <br />compared to bid preparation will result in lower quotes. <br /> <br /> 4. Flexibility in timing of solicitations will allow solicitation to be made during <br />construction season when projects can be used as fill-in projects for otherwise busy <br />contractors. This should result in lower pricing from contractors. <br /> <br /> <br />
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