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ORD 539 ORDINANCE NO. 539 AN ORDINANCE OF THE CITY OF RANCHO PALOS VERDES AMENDING SECTION 2.42.050 OF THE RANCHO PALOS VERDES MUNICIPAL CODE TO INCREASE THE LIMIT FOR LEVEL 1 PROJECTS AND ADD A NEW EXCEPTION TO LEVEL 2 PROJECTS. WHEREAS, the California Legislature amended Public Contract Code Section 22032(a) to increase the force account limit from thirty thousand dollars ($30,000) to forty-five thousand dollars ($45,000); and WHEREAS, the City Council now seeks to amend Section 2.42.050(A) of the Rancho Palos Verdes Municipal Code ("Municipal Code") so that the force account limit increase is in effect in the City; and WHEREAS, Municipal Code Section 2.42.050 previously included Subsection (B)(5), which stated that if all bids received are in excess of one hundred twenty-five thousand dollars ($125,000), the City Council may, by adoption of a resolution by a four- fifths vote, award the contract, at one hundred thirty-seven thousand five hundred dollars ($137,500) or less, to the lowest responsible bidder, if it determines the cost estimate of the public agency was reasonable; and WHEREAS, last year, the California State Controller increased the informal bid limit to one hundred and seventy-five thousand dollars ($175,000) but did not raise the informal bid limit exception beyond one hundred thirty-seven thousand five hundred dollars ($137,500), thus rendering the exception useless, so the City Council removed the exception within Municipal Code Section 2.42.050(B)(5); and WHEREAS, this year, the California Legislature amended Public Contract Code Section 22034(f) to increase the informal bid limit exception from one hundred thirty- seven thousand five hundred dollars ($137,500) to one hundred eighty-seven thousand five hundred dollars ($187,500), thus rendering the exception useful once more; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES DOES ORDAIN AS FOLLOWS: Section 1: Subsection (A) of Section 2.42.050 of Chapter 2.42 of Title 2 of the Municipal Code is hereby amended to read as follows: "Level 1 Projects. Public projects of forty-five thousand dollars ($45,000) or less may be performed by City employees by force account or may be awarded by negotiated contract or by purchase order by the Director of Public Works ("Director") without competitive bidding." Section 2: Subsection (B)(5) is hereby added to Section 2.42.050 of Chapter 2.42 of Title 2 of its Municipal Code to read as follows: "If all bids received are in excess of one hundred seventy-five thousand dollars ($175,000), the City Council may, by adoption of a resolution by a four-fifths vote, award the contract, at one hundred eighty-seven thousand five hundred dollars ($187,500) or less, to the lowest responsible bidder, if the Council determines the cost estimate of the City was reasonable." Section 3: The City Clerk shall certify to the adoption of this ordinance and shall cause the same to be posted in the manner prescribed by law. PASSED, APPROVED and ADOPTED this 20th day of November, 2012. Ma r ATTEST: V 1 r 7C7 City C lurk State of California ) County of Los Angeles ) ss City of Rancho Palos Verdes ) I, Carla Morreale, 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. 539 passed first reading on November 7, 2012, was duly and regularly adopted by the City Council of said City at a regular meeting thereof held on November 20, 2012, and that the same was passed and adopted by the following roll call vote: Ayes: Brooks, Campbell, Duhovic, Knight and Mayor Misetich Noes: None Absent: None Abstain: None ti,evez /it} City Clerk R6876-0001\1360452v2.doc Ordinance No. 539 Page 2of2 All RANCHOPALOSVERDES STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) SS AFFIDAVIT OF POSTING CITY OF RANCHO PALOS VERDES) The undersigned, being first duly sworn, deposes and says: That at all times herein mentioned, she was and now is the appointed City Clerk of the City of Rancho Palos Verdes; That on November 26, 2012, she caused to be posted the following document entitled: ORDINANCE NO.539,AN ORDINANCE OF THE CITY OF RANCHO PALOS VERDES AMENDING SECTION 2.42.050 OF THE RANCHO PALOS VERDES MUNICIPAL CODE TO INCREASE THE LIMIT FOR LEVEL 1 PROJECTS AND ADD A NEW EXCEPTION TO LEVEL 2 PROJECTS, a copy of which is attached hereto, in the following locations: City Hall Ladera Linda Community Center 30940 Hawthorne Blvd. 32201 Forrestal Drive Rancho Palos Verdes Rancho Palos Verdes Hesse Park 29301 Hawthorne Blvd. Rancho Palos Verdes I certify under penalty of perjury that the foregoing is a true and correct affidavit of posting. i r 7i / // /- ,..Ar =City Clerk W:\FORMS\Form 150 Archived Affidavits(oldWorm 150-Affidavit of Posting Ordinance No.539.doc