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HomeMy WebLinkAboutOrdinance No. 20111ORDINANCE NO. 20111 AN ORDINANCE CONCERNING PUBLIC CONTRACTING; AND AMENDING SECTIONS 2.1220, 2,1225, 2.1230, AND 2.1245 OF THE EUGENE CODE, 1971. THE CITY OF EUGENE DOES ORDAIN AS FOLLOV~S: t Section 1. The definition of "Public improvement" set forth in Section 2.1220 of the Eugene Code,1971, is amended to provide; 2.1220 Public Contracts -Definitions. As used in sections 2.1200 to 2.1255: Public im rovement. Projects for construction, reconstruction or major renovation on real property by or for the city. Resurfacing of highways, roads or streets at a depth of two or more inches and at an estimated cost that exceeds $125,004 is a public improvement. '"Public improvement" does not include emergency work, minor alteration, ordinary repair, or maintenance necessary in order to preserve a public improvement. "Public improvement" also does not include improvements mandated by the city when it issues a permit for work affecting the public way as defined in section 7.290 of this code or when it sells or leases real property and retains no right to occupy the real property except upon default of the purchaser or except by easement. Section 2. Subsections ~3} and ~4} of Section 2.1225 of the Eugene Code, 1971, are amended, and new Subsections ~7} and ~S}added thereto, to provide: 2.1225 Public Contracts - Com etitive Biddin . ~3} The purchasing agent shall maintain a record of all public contracts awarded including those exempt under section 2.1230. Except for contracts under $5,000, the record shall include the bids solicited and received and determinations made by the purchasing agent. ~4} Notwithstanding provisions of law requiring the city to enter into contracts with the lowest responsible bidder and subject to subsections ~5}, ~7}, and ~8} of this section, any city employee charged with the purchase of materials and supplies for any public use shall give preference to the purchase of materials and supplies manufactured from recycled materials. ~7} The city shall provide in every public contract for demolition a condition requiring the contractor to salvage or recycle construction and demolition debris, if feasible and cost- effective. Qrdinance -1 ~S} The city shall provide in every public contract for lawn and landscape maintenance a condition requiring the contractor to compost or mulch yard waste materials at an approved site, if feasible and cost-effective. Section 3, Section ~.1~30 of the Eugene Code, 1971, is amended by adding a new Subparagraph (1)(~ thereto, and amending Subsections (2), (4), and (5) thereof, to provide: x.123 0 Public Contracts - Exem tions and Classifications. ~ 1 } The following classes of public contracts are exempt from competitive bidding as public contracts that do not encourage favoritism or substantially diminish competition and that result in substantial cast savings: ~q} Contracts accepted by the city manager pursuant to section 3.4156} of this code for in-kind telecommunications services. ~2} The following classes of public contracts are hereby created and when the procedure for each class is followed such contracts do not encourage favoritism nor substantially diminish competition and do result in substantial cost savings: ~a} ~on~racts under $5,,00. The purchasing agent shall establish the procedures for awarding contracts less than $5,000 in value for goods, services, or both, or for public improvements; fib} Contracts $S,O~~,,to..$10,000. All contracts for an amount which is valued $5,000 or more but less than $10,000 shall be based on informal quotations unless in the discretion of the purchasing agent the nature of the proposed contract requires formal quotations or formal bids. The purchasing agent shall seek quotations from a sufficiently large number of potential bidders to insure sufficient competition to meet the best interests of the city and shall award the contract after receiving at Ieast three responsive quotes. An award based on receiving less than three quotes may be made only on a determination by the purchasing agent that potential bidders were given a reasonable opportunity to submit quotes, ~c} Contracts 10 000 to 75 000. All contracts for an amount which is valued $10,000 or more but less than $75,000 shall be based on formal quotations unless in the discretion of the purchasing agent the nature of the proposed contract requires formal bids. Unless the purchasing agent determines that mailed invitations will notify a sufficiently large number of potential bidders to insure sufficient competition to meet the interests of the city ar that an invitation published in a trade journal will give better notice to potential bidders, the solicitation of formal quotations shall be published at least once in a newspaper of general circulation the Eugene area. Commencing July 1,1995, advertisements for formal quotations may be published electronically instead of in a newspaper of general circulation if the purchasing agent determines that electronic advertisements for quotations are likely to be cost-effective. ordinance - 2 ~d} Contracts over 75 OOO. All contracts for $75,000 value or more shall be based on formal bids. The solicitation for bids shall be published at least once in a newspaper of general circulation in the Eugene area. Commencing July 1,1995, advertisements for bids may be published electronically instead of in a newspaper of general circulation if the purchasing agent determines that electronic advertisements for bids are likely to be cost-effective. Yf the proposed contract is for a public improvement with an estimated cost in excess of $125,000, the solicitation shall also be published in a trade newspaper of general state-wide circulation. The purchasing agent shall avoid purchasing practices which segregate a public contract into contracts of lesser amounts for the sole purpose of avoiding the regulations of this subsection. (4} ~a} As used in this subsection: "advertised" means any public notice reasonably calculated to inform the prospective purchasers most likely to pay the highest price; and a "liquidation sale" occurs when the purchasing agent establishes a fixed sale price and terms for each item based on current market value, when the item is sold to the first qualified buyer meeting the sale terms, and when the personal property is displayed at a retail business open to the public during retail shopping hours or at a location which has been advertised as the place of the liquidation sale. fib} when it is declared surplus by the purchasing agent, all personal property which the city has acquired shall be: 1. Traded in on the purchase of replacement equipment or goods; 2. Sold to highest bidder at an advertised public auction or after an advertised call for bid; 3. Sold at liquidation sale if the price of each item is $5,000 or less; or 4. 1n default of bids from others, sold at private sale without further advertising or taking of bids. The purchasing agent shall select the method of disposal which maximizes the value the city will realize from disposal of the surplus property. ~5} when the purchasing agent finds an emergency exists because of circumstances that could not have been reasonably foreseen that create a substantial risk of loss, damage, interruption of services or threat to the public health or safety that requires prompt execution of a contract to remedy the condition, ~s}he may waive any of the requirements of sections 2.1220 to 2.1245 when awarding a public contract. when a contract for more than $50,000 is awarded after such a waiver, at the next meeting of the council following the waiver, the purchasing agent shall submit a written report stating with specificity the emergency conditions necessitating prompt execution, the provisions waived, the public contracts for more than $50,000 awarded under this subsection, and the length of time the emergency conditions are expected to persist. Upon receiving the purchasing agent's report required by this subsection, the council may modify or re j ect the decisions of the purchasing agent. In any event, any contract awarded under this subsection must be awarded within 60 days fallowing the declaration of the emergency by the purchasing agent, Ordinance - 3 unless the council grants an extension. Furthermore, the cost of contracts awarded under this subsection shall not exceed the unexpended appropriation for operating contingencies. At the conclusion of emergency authorization, the purchasing agent shall submit to the council another written report of the public contracts awarded under waivers for more than $50,000 during the emergency. Section 4. Subsection ~3} of Section 2.1245 of the Eugene Cade, 1971, is amended to prove e; 2.1245 Public Contracts - Exem tion and Waiver of Bid and Performance Bonds. security. ~3} All public improvement contracts for $75,000 ar more shall require bid Section 5. The City Recorder, at the request of, or with the concurrence of the City Attorney, is authorized to a ' 'stratively correct any reference errors contained herein ar in other provisions of the Eugene Code,1971, to the provisions added, amended or repealed herein. Passed by the City Council this Approved by the Mayor this 6th day of April, 1998 City Recorder ordinance - 4 6th day of April,1998