ORD 261 ORDINANCE NO. 261
AN ORDINANCE OF THE CITY OF RANCHO PALOS VERDES
AMENDING CHAPTER 2.44 OF TITLE 2 OF THE RANCHO PALOS
VERDES MUNICIPAL CODE TO MODIFY THE CITY PURCHASING
SYSTEM
THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES DOES ORDAIN
AS FOLLOWS:
Section 1. Chapter 2.44 of Title 2 of the Rancho Palos
Verdes Municipal Code is repealed and reenacted to read as
follows:
Chapter 2.44
Purchasing System
Sections:
2.44.010 Policy.
2.44.020 Authority and responsibility.
2.44.030 Formal contract procedure.
2.44. 040 Open market procedure.
2.44. 050 Use of vendors selected by another agency.
2. 44. 060 Exceptions to bid procedures.
2.44.070 Purchase orders.
2 .44.080 Confirming purchase orders.
2.44.090 Conference expense.
2 .44.100 Payment of invoices.
2.44.110 Petty cash.
2 .44.120 Sale of obsolete personal property.
2 .44.130 Construction contracts.
2. 44.140 Exceptions.
2 .44.150 Inspection and testing.
2. 44.010 Policy. It shall be the policy of the City to
secure services, supplies and equipment at the lowest possible
cost commensurate with quality needed, to exercise positive
financial control over purchases and to assure the quality of
purchases.
2.44.020 Authority and responsibility. The authority and
responsibility for the purchase of services, supplies, and
equipment for the City shall be vested in the City Manager or
his or her designee. The City Manager or his or her designee
shall purchase services, supplies and equipment in accordance
with the procedures prescribed in this chapter.
2.44.030 Formal contract procedure. A. Purchases of
supplies and equipment of an estimated value of ten thousand
dollars ($10,000) or more shall be by written contract or
900801 rp 0860230 (1 )
purchase order with the lowest responsible and responsive bidder
after notice. Purchases of services of an estimated value of ten
thousand dollars ($10,000.00) or more other than public projects
defined in Section 22002 of the California Public Contracts Code
shall be by written contract with the bidder after notice who
offers, at the sole discretion of the City Council , the best
combination of price and quality.
B. Such notice shall be published in a newspaper of
general circulation printed and published in the City, or if
there is none then in a newspaper serving the area. 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, not
less than ten days prior to the date specified for the opening of
the bids.
D. When deemed necessary by City Manager, 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. The time to
sign the agreement before forfeiting the bidder' s security shall
be extended for delay caused by the City.
E. The City Council shall award all bids under this
section. On refusal or failure of the successful bidder to
execute the contract, the council may award to another bidder
based upon the appropriate criteria provided in Subsection A. If
for that reason the Council awards the contract to another
bidder, the amount of the first awardee' s security shall be
applied by the City to the difference in the amount of the bid
between the first awardee and the second awardee, and the
surplus, if any, shall be returned to the first awardee.
F. 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.
Bidder proprietary information shall not be available for public
inspection.
G. The Council may reject any and all bids, waive any
irregularity in any bid, or readvertise for bids.
H. If two or more bids received for supplies and equipment
are for the same total amount or unit price, the Council may
accept the bid it considers best meets the needs of the City.
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900801 rp 0860230 (1)
2.44.040 Open market procedure. Purchases of services,
supplies, and equipment of an estimated value in an amount less
than ten thousand dollars ($10, 000) may be made by the City
Manager in the open market without observing the procedure
prescribed by Section 2.44.030, provided however:
A. Purchases in excess of five hundred dollars ( $500 )
shall be based on at least three bids, and shall be awarded based
on the applicable criteria contained in subsection A of Section
2.44. 030.
B. The City Manager or his or her designee may solicit
bids by direct mail request or by telephone. Copies of all
written proposals received shall be retained for public
inspection during regular business hours for not less than one
year after receipt. Vendor proprietary data shall not be open
for public inspection.
2.44.050 Use of vendors selected by another agency. The
City Manager may purchase services, supplies and equipment for
which the City would normally follow its own bid procedures from
a vendor awarded a bid by another public agency if said agency
utilized procedures substantially the same as those normally
utilized by the City. The amount of said purchase shall be based
on the price bid in the other jurisdiction.
2.44.060 Exceptions to bid procedures. The procurement of
specific professional services such as contracts with attorneys,
architects, engineers, auditors, financial advisors, or when the
service contracted for deal with election service, public
relations and related activities; negotiations for or acquisition
of land; insurance; bonds, negotiations for or acquisition of
land; insurance; bonds; or other services of a similar nature to
those listed may be made by the City Council without following
bid procedures.
2.44.070 Purchase orders. A. All purchases of materials,
supplies and services shall be by serially numbered purchase
orders authorized by the signature of the ordering department
head and the City Manager or his or her designee. These
exceptions are allowed:
1. All purchases of less than fifty dollars ($50)
that are processed by the presentation of an invoice acceptable
to and paid from the petty cash fund, and for which reimbursement
is authorized and available from petty cash.
2. Utility bills, rents and lease purchases.
3. Purchases made by credit cards authorized by the
City Council and issued to those employees approved by the City
Manager, provided however no single use shall be in excess of
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900801 rp 0860230 (1 )
five hundred dollars ($500) . The customer' s copy of the invoice
shall be delivered to the director of finance for approval for
payment.
4. Purchases of services over ten thousand dollars
($10,000 .00) shall be by written contract.
B. Multiple individual purchases not to exceed two hundred
dollars ($200) each may be made on a single open purchase order.
The City Manager may authorize open purchase orders for those
vendors who are a convenient source of supply by reason of
economy, proximity or delivery services. Multiple purchases may
be made by requisition on these purchase orders by any city
department subject to the dollar restriction placed on single
purchases and the maximum multiple limitation of one thousand
dollars ($1000) . A requisition form shall be made available by
the director of finance as the document required by the
individual authorized to make a purchase on an open monthly
purchase order, or from central stores when and if established by
the city. The requisition shall be dated and signed by the
department head or an authorized representative.
2 .44.080 Confirming purchase orders. Emergency purchases
required due to natural disasters or other unforeseen
circumstances may be made by a confirming purchase order if so
noted on the purchase order form. Prior approval must be given
by the City Manager, if available, or by the Deputy City Manager
if the City Manager is absent.
2.44.090 Conference expense. Expenses incurred during for
attendance at conferences, or other activities in the interests
of the city, that require an overnight stay may be paid by:
1. Obtaining a credit card from the finance department
with all invoices returned to finance officer.
2. Obtaining a warrant from the finance officer in the
amount of the advanced estimation of expense approved by the
director of finance. Reconciliation shall be made within thirty
(30) days of returning to the City.
3. By submission for reimbursement of appropriate expense
invoices within thirty ( 30) days after returning to the City.
2.44.100 Payment of invoices. A. All invoices requiring a
purchase order shall be submitted directly to the director of
finance by the supplier of the equipment, supplies or services.
B. Payment disputes will be resolved by the director of
finance.
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900801 rp 0860230 (1 )
2.44.110 Petty cash. There is hereby established a petty
cash fund in the amount of one thousand dollars ( $1,000 )
admini stered under the supervision of the City Manager, from which
cash
disbursements may be made in an amount not to exceed fifty
dollars ($50) . Disbursements must be accompanied by an invoice in
the amount of the request, signed by the originator and approved
by department de artment head. An invoice is not required for auto
mileage reimbursement, metered parking and any other requirement
for which an invoice cannot be expected.
2.44.120 Sale of obsolete personal property. The City
Manager shall sell worn-out, scrap, or obsolete personal
property, or exchange the same for, or trade in the same on new
supplies q
and equipment, including property of all departments, by
g
solicitin bids. No bids will be accepted from City employees
or contractors. If the value of the property to be sold is of a
value of five hundred dollars ($500) or less, the sale shall be
approved by the City Manager. In the event the value of the
app Y than five hundred dollars ($500.00 ) ,
property to be sold is more t
the sale shall be subject to the approval of the City Council .
2.44.130 Construction contracts. The City may use the
in formal biddin g procedures for construction projects as
authorized in Public Contract Code Sections 22000, et seq. and in
compli ance with the State of California Cost Accounting Policies
and procedure Manual of the California Uniform Public
Construction Cost Accounting Commission.
Exceptions. Sections 2.44.030 and 2.44.040 shall
2.44.140 Excep
not apply 1 to the purchase of services, supplies and equipment
under the following circumstances:
The City Manager finds that such services, supplies or
.
A. • Y � durability,
equipment are unique because of the quality, y, .
q
ilit or fitness for a particular use and are available
availability,
from only one source;
B. The City Manager finds that exigent circumstances
require the immediate purchase of such services, supplies or
equipment;
services, supplies or equipment are provided by an
C. PP
T That s
independent contractor pursuant to an agreemen t with the City
for the furnishing of labor and materials for other than the
I/ '�
construction of a public works project; and
City D.
The Cit Council finds that due to the nature of the
services, supplies equipment, bidding is not likely to result
pp or q
in the lowest price.
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900801 rp 0860230 (1 )
2.44.150 Inspection and testing. The City Manager shall
require that all services, supplies and equipment are inspected
and in conformity 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 the bids
and samples of deliveries which are necessary to determine their
quality and conformance with specifications.
PASSED, APPROVED and ADOPTED this 2 st day of I/
AUGUST, 1990.
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ATTEST: ,
OA if OF
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Mr
/ CI CLERK--
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS
CITY OF RANCHO PALOS VERDES )
I , JO PURCELL, City Clerk of the City of Rancho Palos
Verdes do hereby certify that the whole number of members of the
City Council of said City is five; that the foregoing ordinance
No. 260, passed first reading on August 7, 1990, was duly and
regularly adopted by the City Council of said City at a regular
meeting thereof held on August 21, 1990, and that the same was
passed and adopted by the following roll call vote:
AYES: McTAGGART, HINCHLIFFE, RYAN, BACHARACH AND MAYOR
HUGHES
NOES: NONE
ABSENT: NONE
ABSTAIN: NONE
IN ...tlit'W(212—__
Ar CITY CLERK
RES-ORD\PUR -6-- • D. NO. 261
II
900801 rp 0860230 (1)
ORD. NO. 261
- RANCHO PALOSVEROES
STATE OF CALIFORNIA
COUNTY OF LOS ANGELES ) SS AFFIDAVIT OF POSTING
CITY OF RANCHO PALOS VERDES)
The undersigned, being first duly sworn, des poses and says :
That . at all times herein mentioned, she was and now is the
duly qualified City Clerk of the City of Rancho Palos Verdes ,
California:
That on the 23rd day of August 1990 she caused
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be posed in three conspicuous places , as by required b law the
following :
a
AMENDING CHAPTER 2. 44 OF TITLE 2 OF THE RANCHO PALOS VERDES MUNICIPAL
CODE TO MODIFY THE CITY PURCHASING SYSTEM.
a copy of which is attached -hereto, in the following public places
in the City:
CITY HALL
RANCHO PALOS VERDES
30940 HAWTHORNE BOULEVARD, CALIFORNIA 90274
. LOS ANGELES COUNTY FIRE STATION
MIRALESTE STATION
4000 MIRALESTE PLAZA
RANCHO PALOS VERDES , CALIFORNIA 90274
U. S . POST OFFICE
28649 SOUTH WESTERN AVENUE
RANCHO PALOS VERDES , CALIFORNIA 90732 •
I certify under penalty of perjury that the foregoing is a true and
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correct affidavit of posting .
/I'
_
JO • RCELL; CMC
CI I CLERK
30940 HAWTHORNE BOULEVARD / RANCHO PALOS VERDES. CA 90274-5391 / (213) 377-0360