HomeMy WebLinkAboutOrdinance 1872ORDINANCE NO. _,S—1 a
AN ORDINANCE REPEALING CENTRAL POINT MUNICIPAL CODE CHAPTER 2.40
ENTITLED CONTRACT REVIEW BOARD AND REPLACING IT WITH A NEW CHAPTER 2.40
ENTITLED PUBLIC CONTRACTING RULES
THE PEOPLE OF THE CITY OF CENTRAL POINT, OREGON DO ORDAIN AS FOLLOWS:
Chapter 2.40 entitled Contract Review Board is hereby repealed and replaced with the following
new Chapter 2.40 entitled Public Contracting Rules:
CHAPTER 2.40
PUBLIC CONTRACTING RULES
Sections:
2.40.010.
Public Contracts — City of Central Point Policy
2.40.020.
Application of Public Contracting Rules
2.40.030.
Public Contracts — Regulation by City Council
2.40.040.
Public Contracts — Model Rules
2.40.050.
Public Contracts — Authority of Purchasing Agent
2.40.060.
Definitions
2.40.070.
Public Contracts — Process for Approval of Special
Solicitation Methods and Exemptions
2.40.080.
Public Contracts — Solicitation Methods for Classes of Contracts
2.40.090.
Public Contracts — Informal Solicitation Procedures
2.40.100.
Public Contracts — Use of Brand Name Specifications
for Public Improvements
2.40.110.
Public Contracts — Bid. Performance and Payment Bonds
2.40.120.
Public Contracts — Electronic Advertisement of Public Contracts
2.40.130.
Appeal of Debarment or Pregualification Decision
2.40.010. Public Contracts — City of Central Point Policv.
A. Short Title. The provisions of this ordinance and all rules adopted under this
ordinance may be cited as the City of Central Point's Public Contracting Rules.
B. Purpose of Public Contracting Rules. It is the policy of the City of Central Point in
adopting the Public Contracting Rules to utilize public contracting practices and methods that
maximize the efficient use of public resources and the purchasing power of public funds by:
(1) Promoting impartial and open competition;
(2) Using solicitation materials that are complete and contain a clear statement of
contract specifications and requirements; and
(3) Taking full advantage of evolving procurement methods that suit the contracting
needs of the City of Central Point as they emerge within various industries.
C. Interpretation of Public Contracting Rules. In furtherance of the purpose of the
objectives set forth in subsection B, it is the City of Central Point's intent that the City of Central
Point Public Contracting Rules be interpreted to authorize the full use of all contracting powers
and authorities described in ORS Chapters 279A, 279B and 279C.
2.40.020. Application of Public Contracting Rules. In accordance with ORS
279A.025, the City of Central Point's Public Contracting Rules and the Oregon Public
Contracting Code do not apply to the following classes of contracts.
A. Between Governments. Contracts between the City of Central Point and a public body
or agency of the State of Oregon or its political subdivisions, or between the City of Central
Point and an agency of the federal government.
B. Grants. A grant contract is an agreement under which the City of Central Point is
either a grantee or a grantor of moneys, property or other assistance, including loans, loan
guarantees, credit enhancements, gifts, bequests, commodities or other assets, for the purpose
of supporting or stimulating a program or activity of the grantee and in which no substantial
involvement by the grantor is anticipated in the program or activity other than involvement
associated with monitoring compliance with the grant conditions.
The making or receiving of a grant is not a public contract subject to the Oregon Public
Contracting Code; however, any grant made by City of Central Point for the purpose of
constructing a public improvement or public works project shall impose conditions on the
grantee that ensure that expenditures of the grant to design or construct the public improvement
or public works project are made in accordance with the Oregon Public Contracting Code and
these regulations.
C. Legal Witnesses and Consultants. Contracts for professional or expert witnesses or
consultants to provide services or testimony relating to existing or potential litigation or legal
matters in which the City of Central Point is or may become interested.
D. Real Property. Acquisitions or disposals of real property or interests in real property.
E. Textbooks. Contracts for the procurement or distribution of textbooks.
F. Oregon Corrections Enterprises. Procurements from an Oregon corrections
enterprises program.
G. Finance. Contracts, agreements or other documents entered into, issued or
established in connection with:
(1) The incurring of debt by the City of Central Point, including any associated contracts,
agreements or other documents, regardless of whether the obligations that the
contracts, agreements or other documents establish are general, special or limited;
(2) The making of program loans and similar extensions or advances of funds, aid or
assistance by the City of Central Point to a public or private Person for the purpose of
carrying out, promoting or sustaining activities or programs authorized by law other than
for the construction of public works or public improvements;
(3) The investment of funds by the City of Central Point as authorized by law, or
(4) Banking, money management or other predominantly financial transactions of the
City of Central Point that, by their character, cannot practically be established under the
competitive contractor selection procedures, based upon the findings of the Purchasing
Agent.
H. Employee Benefits. Contracts for employee benefit plans as provided in ORS
243.105(1)., 243.125 (4)., 243.221, 243.275, 243.291, 243.303 and 243.565.
I. Exempt Under State Laws. Any other public contracting specifically exempted from the
Oregon Public Contracting Code by another provision of law.
J. Federal Law. Except as otherwise expressly provided in ORS 279C.800 to 279C.870,
applicable federal statutes and regulations govern when federal funds are involved and the
federal statutes or regulations conflict with any provision of the Oregon Public Contracting Code
or these regulations, or require additional conditions in public contracts not authorized by the
Oregon Public Contracting Code or these regulations.
2.40.030 Public Contracts — Regulation by City Council. Except as expressly
delegated under these regulations, the City Council reserves to itself the exercise of all of the
duties and authority of a contract review board and a contracting agency under state law,
including, but not limited to, the power and authority to:
A. Solicitation Methods Applicable to Contracts. Approve the use of contracting methods
and exemptions from contracting methods for a specific contract or certain classes of contracts;
B. Brand Name Specifications. Exempt the use of brand name specifications for public
improvement contracts;
C. Waiver of Performance and Payment Bonds. Approve the partial or complete waiver
of the requirement for the delivery of a performance or payment bond for construction of a public
improvement, other than in cases of emergencies;
D. Electronic Advertisement of Public Contracts. Authorize the use of electronic
advertisements for public contracts in lieu of publication in a newspaper of general circulation;
E. Appeals of Debarment and Pregualification Decisions. Hear properly filed appeals of
the Purchasing Agent's determination of debarment, or concerning prequalification;
F. Rulemaking. Adopt contracting rules under ORS 279A.065 and ORS 279A.070
including, without limitation, rules for the procurement, management, disposal and control of
goods, services, personal services and public improvements; and
G. Award. Award all contracts that exceed the authority of the Purchasing Agent.
2.40.040 Public Contracts — Model Rules. The Model Rules adopted by the Attorney
General under ORS 279A.065 (Model Rules) are hereby adopted as the public contracting rules
for the City of Central Point, to the extent that the Model Rules do not conflict with the provisions
of this ordinance including any amendments to this ordinance, and further provided that, despite
the provisions of the Model Rules concerning the selection of architects, engineers, land
surveyors and related consultants, the City of Central Point's evaluation of architects, engineers,
land surveyors and related consultants may include price as a dominant criterion for selection.
A. General Authority. The City Administrator shall be the Purchasing Agent for the City of
Central Point and is hereby authorized to issue all solicitations and to award all City of Central
Point contracts for which the contract price does not exceed $150,000. Subject to the provisions
of this ordinance, the Purchasing Agent may adopt and amend all solicitation materials,
contracts and forms required or permitted to be adopted by contracting agencies under the
Oregon Public Contracting Code or otherwise convenient for the City of Central Point's
contracting needs. The Purchasing Agent shall hear all solicitation and award protests.
B. Solicitation Preferences. When possible, the Purchasing Agent shall use solicitation
documents and evaluation criteria that:
(1)Give preference to goods and services that have been manufactured or produced in
the State of Oregon if price, fitness, availability and quality are otherwise equal; and
(2) Give preference to goods that are certified to be made from recycled products when
such goods are available, can be substituted for non -recycled products without a loss in
quality, and the cost of goods made from recycled products is not significantly more than
the cost of goods made from non -recycled products.
C. Delegation of Purchasing Agent's Authority. Any of the responsibilities or authorities
of the Purchasing Agent under this ordinance may be delegated and sub -delegated by written
directive.
D. Mandatory Review of Rules. Whenever the Oregon State Legislative Assembly
enacts laws that cause the attorney general to modify its Model Rules, the Purchasing Agent
shall review the Public Contracting Rules, other than the Model Rules, and recommend to the
City Council any modifications required to ensure compliance with statutory changes.
2.40.60 Definitions. For the purpose of this chapter, the following definitions shall apply:
Award means the selection of a person to provide goods, services or public
improvements under a public contract. The award of a contract is not binding on the City of
Central Point until the contract is executed and delivered by City of Central Point.
Bid means a binding, sealed, written offer to provide goods, services or public
improvements for a specified price or prices.
Concession agreement means a contract that authorizes and requires a private entity or
individual to promote or sell, for its own business purposes, specified types of goods or services
from real property owned or managed by the City of Central Point, and under which the
concessionaire makes payments to the City of Central Point based, at least in part, on the
concessionaire's revenues or sales. The term "concession agreement" does not include a mere
rental agreement, license or lease for the use of premises.
Contract price means the total amount paid or to be paid under a contract, including any
approved alternates, and any fully executed change orders or amendments.
Contract review board or local contract review board means the City Council.
Cooperative procurement means a procurement conducted by or on behalf of one or
more contracting agencies.
Debarment means a declaration by the Purchasing Agent under ORS 27913.130 or ORS
279C.440 that prohibits a potential contractor from competing for the City of Central Point's
public contracts for a prescribed period of time.
Disposal means any arrangement for the transfer of property by the City of Central Point
under which the City of Central Point relinquishes ownership.
Emergency means circumstances that create a substantial risk of loss, damage or
interruption of services or a substantial threat to property, public health, welfare or safety; and
require prompt execution of a contract to remedy the condition.
Energy savings performance contract means a contract with a qualified energy service
company for the identification, evaluation, recommendation, design and construction of energy
conservation measures that guarantee energy savings or performance.
Findings are the statements of fact that provide justification for a determination. Findings
may include, but are not limited to, information regarding operation, budget and financial data;
public benefits; cost savings; competition in public contracts; quality and aesthetic
considerations, value engineering; specialized expertise needed; public safety; market
conditions; technical complexity; availability, performance and funding sources.
Goods means any item or combination of supplies, equipment, materials or other
personal property, including any tangible, intangible and intellectual property and rights and
licenses in relation thereto.
Informal solicitation means a solicitation made in accordance with the City of Central
Point's Public Contracting Rules to a limited number of potential contractors, in which the
Solicitation Agent attempts to obtain at least three written quotes or proposals.
Invitation to bid means a publicly advertised request for competitive sealed bids.
Model Rules means the public contracting rules adopted by the Attorney General under
ORS 279A.065.
Offeror means a person who submits a bid, quote or proposal to enter into a public
contract with the City of Central Point.
Oregon Public Contracting Code means ORS chapters 279A, 279B and 279C.
Person means a natural person or any other private or governmental entity, having the
legal capacity to enter into a binding contract.
Proposal means a binding offer to provide goods, services or public improvements with
the understanding that acceptance will depend on the evaluation of factors other than, or in
addition to, price. A Proposal may be made in response to a request for proposals or under an
informal solicitation.
Personal services contract means a contract with an independent contractor
predominantly for services that require special training or certification, skill, technical, creative,
professional or communication skills or talents, unique and specialized knowledge, or the
exercise of judgment skills, and for which the quality of the service depends on attributes that
are unique to the service provider. Such services include, but are not limited to, the services of
architects, engineers, land surveyors, attorneys, auditors and other licensed professionals,
artists, designers, computer programmers, performers, consultants and property managers. The
Purchasing Agent shall have discretion to determine whether additional types of services not
specifically mentioned in this paragraph fit within the definition of personal services.
Public contract means a sale or other disposal, or a purchase, lease, rental or other
acquisition, by the City of Central Point of personal property, services, including personal
services, public improvements, public works, minor alterations, or ordinary repair or
maintenance necessary to preserve a public improvement.
Public improvement means a project for construction, reconstruction or major renovation
on real property by or for the City of Central Point. "Public improvement" does not include:
(1) Projects for which no funds of the City of Central Point are directly or indirectly used,
except for participation that is incidental or related primarily to project design or
inspection; or
2) Emergency work, minor alteration, ordinary repair or maintenance necessary to
preserve a public improvement.
Purchasing Agent means the City Administrator or designee appointed by the City
Administrator to exercise the authority of the Purchasing Agent under these Public Contracting
Rules.
Qualified pool means a pool of vendors who are pre -qualified to compete for the award
of contracts for certain types of contracts or to provide certain types of services.
Quote means a price offer made in response to an informal or qualified pool solicitation
to provide goods, services or public improvements.
Request for proposals means a publicly advertised request for sealed competitive
proposals.
Services means and includes all types of services (including construction labor) other
than personal services.
Solicitation means an invitation to one or more potential contractors to submit a bid,
proposal, quote, statement of qualifications or letter of interest to the City of Central Point with
respect to a proposed project, procurement or other contracting opportunity. The word
"solicitation" also refers to the process by which the City of Central Point requests, receives and
evaluates potential contractors and awards public contracts.
Solicitation Agent means with respect to a particular solicitation, the City Administrator or
person designated by the City Administrator to conduct the solicitation and make an award.
Solicitation documents means all informational materials issued by the City of Central
Point for a solicitation, including, but not limited to advertisements, instructions, submission
requirements and schedules, award criteria, contract terms and specifications, and all laws,
regulations and documents incorporated by reference.
Standards of responsibility mean the qualifications of eligibility for award of a public
contract. An offeror meets the standards of responsibility if the offeror has:
(1) Available the appropriate financial, material, equipment, facility and personnel
resources and expertise, or ability to obtain the resources and expertise, necessary to
indicate the capability of the offeror to meet all contractual responsibilities;
(2) A satisfactory record of performance. The Solicitation Agent shall document the
record of performance of an offeror if the Solicitation Agent finds the offeror to be not
responsible under this paragraph;
(3) A satisfactory record of integrity. The Solicitation Agent shall document the record of
integrity of an offeror if the Solicitation Agent finds the offeror to be not responsible under
this paragraph;
(4) Qualified legally to contract with the City of Central Point;
(5) Supplied all necessary information in connection with the inquiry concerning
responsibility. If an offeror fails to promptly supply information requested by the
Solicitation Agent concerning responsibility, the Solicitation Agent shall base the
determination of responsibility upon any available information or may find the offeror
non -responsible; and
(6) Not been debarred by the City of Central Point, and, in the case of public
improvement contracts, has not been listed by the Construction Contractors Board as a
contractor who is not qualified to hold a public improvement contract.
Surplus property means personal property owned by the City of Central Point which is
no longer needed for use by the department to which such property has been assigned.
2.40.070. Public Contracts - Process for Approval of Special Solicitation Methods
and Exemptions.
A. Authority of the City Council. In its capacity as contract review board for the City of
Central Point, the City Council, upon its own initiative, or upon request of the Purchasing Agent,
may create special selection, evaluation and award procedures for, or may exempt from
competition, the award of a specific contract or class of contracts as provided in this section 7.
B. Basis for Approval. The approval of a special solicitation method or exemption from
competition must be based upon a record before the City Council that contains the following:
(1) The nature of the contract or class of contracts for which the special solicitation or
exemption is requested;
(2) The estimated contract price or cost of the project, if relevant;
(3) Findings to support the substantial cost savings, enhancement in quality or
performance or other public benefit anticipated by the proposed selection method or
exemption from competitive solicitation;
(4) Findings to support the reason that approval of the request would be unlikely to
encourage favoritism or diminish competition for the public contract or class of public
contracts, or would otherwise substantially promote the public interest in a manner that
could not practicably be realized by complying with the solicitation requirements that
would otherwise be applicable under these regulations;
(5) A description of the proposed alternative contracting methods to be employed; and
(6) The estimated date by which it would be necessary to let the contract(s). In making a
determination regarding a special selection method, the City Council may consider the
type, cost, amount of the contract or class of contracts, number of persons available to
make offers, and such other factors as it may deem appropriate.
C. Hearing.
(1) The City of Central Point shall approve the special solicitation or exemption after a
public hearing before the City Council following notice by publication in at least one
newspaper of general circulation in the City of Central Point area.
(2) At the public hearing, the City of Central Point shall offer an opportunity for any
interested party to appear and present comment.
(3) The City Council will consider the findings and may approve the exemption as
proposed or as modified by the City Council after providing an opportunity for public
comment.
D. Special Requirements for Public Improvement Contracts.
(1) Notification of the public hearing for exemption of a public improvement contract, or
class of public improvement contracts, shall be published in a trade newspaper of
general statewide circulation at least 14 days prior to the hearing.
(2) The notice shall state that the public hearing is for the purpose of taking comments
on the City of Central Point's draft findings for an exemption from the standard
solicitation method. At the time of the notice, copies of the draft findings shall be made
available to the public.
E. Commencement of Solicitation Prior to Approval. A solicitation may be issued prior to
the approval of a special exemption under this section, provided that the closing of the
solicitation may not be earlier than five days after the date of the hearing at which the City
Council approves the exemption. If the City Council fails to approve a requested exemption, or
requires the use of a solicitation procedure other than the procedures described in the issued
solicitation documents, the issued solicitation may either be modified by addendum, or
cancelled.
2.40.080 Public Contracts - Solicitation Methods for Classes of Contracts. The
following classes of public contracts and the method(s) that are approved for the award of each
of the classes are hereby established by the City Council.
A. Purchases from Nonprofit Agencies for Disabled Individuals. The City of Central Point
shall give a preference to goods, services and public improvements available from qualified
nonprofit agencies for disabled individuals in accordance with the provisions of ORS 279.835
through 279.850.
B. Public Improvement Contracts.
(1) Any Public Improvement. Unless otherwise provided in these regulations or approved
for a special exemption, public improvement contracts in any amount may be issued
under an invitation to bid.
(2) Non -Transportation Public Improvements Up to $100,000. Public improvement
contracts other than contracts for a highway, bridge or other transportation project for
which the estimated contract price does not exceed $100,000 may be awarded using an
informal solicitation for quotes.
(3) Transportation Public Improvements Up to $50,000. Contracts for which the
estimated contract price does not exceed $50,000 for highways, bridges or other
transportation projects may be awarded using an informal solicitation for quotes.
(4) City of Central Point -Funded Privately -Constructed Public Improvements. The City of
Central Point may contribute funding to a privately -constructed public improvement
project without subjecting the project to competitive solicitation requirements if all of the
following conditions are met with respect to the entire public improvement project:
(a) The City of Central Point's contribution to the project may not exceed 25% of
the total cost of the project;
(b) The City of Central Point must comply with all applicable laws concerning the
reporting of the project to the Bureau of Labor and Industries as a public works
project;
(c) The general contractor for the project must agree in writing to comply with all
applicable laws concerning reporting and payment of prevailing wages for the
project;
(d) The funds contributed to the project may not provide a pecuniary benefit to
the owner of the development for which the project is being constructed, other
than benefits that are shared by all members of the community;
(e) The performance of the general contractor and the payment of labor for the
project must be secured by performance and payment bonds or other cash
equivalent security that is acceptable to the Purchasing Agent to protect the City
of Central Point against defective performance and claims for payment; and
(f) The contract for construction of the project must be amended, as necessary,
to require the general contractor to maintain adequate workers compensation
and liability insurance and to protect and provide indemnification to the City of
Central Point for all claims for payment, injury or property damage arising from or
related to the construction of the project.
C. Personal Services Contracts. Except as otherwise provided in these regulations,
personal services contracts may be awarded in the same manner as contracts for services
under ORS 279B.050, and 27913.060 to 279B.085.
(1) Any Personal Services Contract. Personal services contracts in any amount may be
awarded under a publicly advertised request for competitive sealed proposals.
(2) Personal Service Contracts Not Exceeding $150,000. Contracts for personal services
for which the estimated contract price does not exceed $150,000 may be awarded using
an informal solicitation for proposals.
(3) $75,000 Award from Qualified Pool. Contracts for personal services for which the
estimated contract price does not exceed $75,000 may be awarded by direct
appointment without competition from a Qualified Pool.
(4) Personal Service Contracts Not Exceeding $20,000 Per Year. Contracts for which
the Solicitation Agent estimates that payments will not exceed $20,000 in any fiscal year
or $150,000 over the full term, including optional renewals, may be awarded under any
method deemed in the City of Central Point's best interest by the Solicitation Agent,
including by direct appointment.
(5) Personal Service Contracts for Continuation of Work. Contracts of not more than
$150,000 for the continuation of work by a contractor who performed preliminary studies,
analysis or planning for the work under a prior contract may be awarded without
competition if the prior contract was awarded under a competitive process and the
Solicitation Agent determines that use of the original contractor will significantly reduce
the costs of, or risks associated with, the work.
D. Hybrid Contracts. The following classes of contracts include elements of construction
of public improvements as well as personal services and may be awarded under a request for
proposals, unless exempt from competitive solicitation.
(1) Design/Build and CM/GC Contracts. Contracts for the construction of public
improvements using a design/build or construction manager/general contractor
construction method shall be awarded under a request for proposals. The determination
to construct a project using a design/build or construction manager/general contractor
construction method must be approved by the City Councilor designee, upon application
of the Solicitation Agent, in which the Solicitation Agent submits facts that support a
finding that the construction of the improvement under the proposed method is likely to
result in cost savings, higher quality, reduced errors, or other benefits to the City of
Central Point.
(2) Energy Savings Performance Contracts. Unless the contract qualifies for award
under another classification in this section 8, contractors for energy savings performance
contracts shall be selected under a request for proposals in accordance with the City of
Central Point's Public Contracting Rules.
E. Contracts for Goods and Services.
(1) Any Procurement. The procurement of goods or services, or goods and services in
any amount may be made under either an invitation to bid or a request for proposals.
(2) Procurements Up to $150,000. The procurement of goods or services, or goods and
services, for which the estimated contract price does not exceed $150,000 may be made
under an informal solicitation for either quotes or proposals.
F. Contracts Subiect to Award at Solicitation Agent's Discretion. The following classes of
contracts may be awarded in any manner which the Solicitation Agent deems appropriate to the
City of Central Point's needs, including by direct appointment or purchase. Except where
otherwise provided the Solicitation Agent shall make a record of the method of award.
(1) Advertising. Contracts for the placing of notice or advertisements in any medium.
(2) Amendments. Contract amendments shall not be considered to be separate
contracts if made in accordance with the Public Contracting Rules.
(3) Animals. Contracts for the purchase of animals.
(4) Contracts Up to $5,000. Contracts of any type for which the contract price does not
exceed $5,000 without a record of the method of award.
(5) Copyrighted Materials; Library Materials. Contracts for the acquisition of materials
entitled to copyright, including, but not limited to works of art and design, literature and
music, or materials even if not entitled to copyright, purchased for use as library lending
materials.
(6) Equipment Repair. Contracts for equipment repair or overhauling, provided the
service or parts required are unknown and the cost cannot be determined without
extensive preliminary dismantling or testing.
(7) Government Regulated Items. Contracts for the purchase of items for which prices or
selection of suppliers are regulated by a governmental authority.
(8) Insurance. Insurance and service contracts as provided for under ORS 414.115,
414.125, 414.135 and 414.145.
(9) Non -Owned Property. Contracts or arrangements for the sale or other disposal of
abandoned property or other personal property not owned by the City of Central Point.
(10) Sole Source Contracts. Contracts for goods or services which are available from a
single source may be awarded without competition.
(11) Specialty Goods for Resale. Contracts for the purchase of specialty goods by City of
Central Point for resale to consumers.
(12) Sponsor Agreements. Sponsorship agreements, under which the City of Central
Point receives a gift or donation in exchange for recognition of the donor.
(13) Structures. Contracts for the disposal of structures located on City of Central Point -
owned property.
(14) Renewals. Contracts that are being renewed in accordance with their terms are not
considered to be newly issued Contracts and are not subject to competitive procurement
procedures.
(15) Temporary Extensions or Renewals. Contracts for a single period of one year or
less, for the temporary extension or renewal of an expiring and non-renewable, or
recently expired, contract, other than a contract for public improvements.
(16) Temporary Use of City of Central Point -Owned Property. The City of Central Point
may negotiate and enter into a license, permit or other contract for the temporary use of
City of Central Point -owned property without using a competitive selection process if:
(a) The contract results from an unsolicited proposal to the City of Central Point
based on the unique attributes of the property or the unique needs of the
proposer;
(b) The proposed use of the property is consistent with the City of Central Point's
use of the property and the public interest; and
(c) The City of Central Point reserves the right to terminate the contract without
penalty, in the event that the City of Central Point determines that the contract is
no longer consistent with the City of Central Point's present or planned use of the
property or the public interest.
(17) Used Property. A Solicitation Agent, for procurements up to $20,000, and the
Purchasing Agent, for procurements in excess of $20,000 may contract for the purchase
of used property by negotiation if such property is suitable for the City of Central Point's
needs and can be purchased for a lower cost than substantially similarly new property.
For this purpose the cost of used property shall be based upon the life-cycle cost of the
property over the period for which the property will be used by the City of Central Point.
The Purchasing Agent shall record the findings that support the purchase.
(18) Utilities. Contracts for the purchase of steam, power, heat, water,
telecommunications services, and other utilities.
G. Contracts Required by Emergency Circumstances.
(1) In General. When an official with authority to enter into a contract on behalf of City of
Central Point determines that immediate execution of a contract within the official's
authority is necessary to prevent substantial damage or injury to persons or property, the
official may execute the contract without competitive selection and award or City Council
approval, but, where time permits, the official shall attempt to use competitive price and
quality evaluation before selecting an emergency contractor.
(2) Reporting. An official who enters into an emergency contract shall, as soon as
possible, in light of the emergency circumstances, (1) document the nature of the
emergency; the method used for selection of the particular contractor and the reason
why the selection method was deemed in the best interest of the City of Central Point
and the public, and (2) notify the City Council of the facts and circumstances surrounding
the emergency execution of the contract.
(3) Emergency Public Improvement Contracts. A public improvement contract may only
be awarded under emergency circumstances if the City Council has made a written
declaration of emergency. Any Public Improvement Contract award under emergency
conditions must be awarded within 60 Days following the declaration of an emergency
unless the City Council grants an extension of the emergency period. Where the time
delay needed to obtain a payment or performance bond for the contract could result in
injury or substantial property damage, the City Council may waive the requirement for all
or a portion of required performance and payment bonds.
H. Federal Purchasing Programs. Goods and services may be purchased without
competitive procedures under a local government purchasing program administered by the
United States General Services Administration ("GSA").
I. Cooperative Procurement Contracts. Cooperative procurements may be made without
competitive solicitation as provided in the Oregon Public Contracting Code.
J. Surplus Property.
(1) General Methods. Surplus property may be disposed of by any of the following
methods upon a determination by the Solicitation Agent that the method of disposal is in
the best interest of the City of Central Point. Factors that may be considered by the
Solicitation Agent include costs of sale, administrative costs, and public benefits to the
City of Central Point. The Solicitation Agent shall maintain a record of the reason for the
disposal method selected, and the manner of disposal, including the name of the person
to whom the surplus property was transferred.
IN
(a) Governments. Without competition, by transfer or sale to another City of
Central Point department or public agency.
(b) Auction. By publicly advertised auction to the highest bidder.
(c) Bids. By public advertised invitation to bid.
(d) Liquidation Sale. By liquidation sale using a commercially recognized third -
party liquidator selected in accordance with rules for the award of personal
services contracts.
(e) Fixed Price Sale. The Solicitation Agent may establish a selling price based
upon an independent appraisal or published schedule of values generally
accepted by the insurance industry, schedule and advertise a sale date, and sell
to the first buyer meeting the sales terms.
(f) Trade -In. By trade-in, in conjunction with acquisition of other price -based items
under a competitive solicitation. The solicitation shall require the offer to state the
total value assigned to the surplus property to be traded.
(g) Donation. By donation to any organization operating within or providing a
service to residents of the City of Central Point which is recognized by the
Internal Revenue Service as an organization described in section 501(c)(3) of the
Internal Revenue Code of 1986, as amended.
(2) Disposal of Property with Minimal Value. Surplus property which has a value of less
than $500, or for which the costs of sale are likely to exceed sale proceeds may be
disposed of by any means determined to be cost effective, including by disposal as
waste. The official making the disposal shall make a record of the value of the item and
the manner of disposal.
(3) Personal -Use Items. An item (or indivisible set) of specialized and personal use,
other than police officer's handguns, with a current value of less than $100 may be sold
to the employee or retired or terminated employee for whose use it was purchased.
These items may be sold for fair market value without bid and by a process deemed
most efficient by the Purchasing Agent.
(4) Police Officers' Handguns. Upon honorable retirement from service with the City of
Central Point, a police officer may purchase the handgun that she or he as using at the
time of retirement. The purchase price shall be the fair market value of the handgun as
determined by an independent appraisal performed by a qualified weapons appraiser.
An officer electing to exercise this option shall notify the City of Central Point at least 30
days prior to his or her expected retirement date and request an appraisal of the
handgun. Upon receipt of the appraisal fee from the officer the City of Central Point shall
arrange or the appraisal. A copy of the completed appraisal shall be provided to the
officer, who shall have up to 30 days from the date of retirement to purchase the
handgun for the appraised fair market value.
(5) Restriction on Sale to City of Central Point Employees. City of Central Point
employees shall not be restricted from competing, as members of the public, for the
purchase of publicly sold surplus property, but shall not be permitted to offer to purchase
property to be sold to the first qualifying bidder until at least three days after the first date
on which notice of the sale is first publicly advertised.
(6) Conveyance to Purchaser. Upon the consummation of a sale of surplus personal
property, the City of Central Point shall make, execute and deliver, a bill of sale signed
on behalf of the City of Central Point, conveying the property in question to the
purchaser and delivering possession, or the right to take possession, of the property to
the purchaser.
K. Concession Agreements.
(1) General. No part of a Concession Agreement shall contain or constitute a waiver of
any generally applicable rules, code provisions or requirements of the City of Central
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Point concerning regulation, registration, licensing, inspection, or permit requirements for
any construction, rental or business activity.
(2) Classes of Contracts Eligible for Award Without Competition. The following
concession agreements may be awarded by any method deemed appropriate by the
Solicitation Agent, including without limitation, by direct appointment, private negotiation,
from a qualified pool, or using a competitive process.
(a) Contracts Under $5,000. Contracts under which the Solicitation Agent
estimates that receipts by the City of Central Point will not exceed $5,000 in any
fiscal year and $50,000 in the aggregate.
(b) Single Event Concessions. Concessions to sell or promote food, beverages,
merchandise or services at a single public event shall be awarded based on any
method determined by the Purchasing Agent to provide a fair opportunity to all
persons desiring to operate a concession, but in which the promotion of the
public interest and success of the event shall be of predominant importance.
(3) Competitive Award. Concession agreements solicited by the City of Central Point for
the use of designated public premises for a term greater than a single event shall be
awarded as follows:
(a) Small Concessions. For Concession Agreements for which the
concessionaire's projected annual gross revenues are estimated to be $500,000
or less, the Purchasing Agent has discretion to use either an informal solicitation
or formal request for proposals process applicable to contracts for personal
services. If the proposals received indicate a probability that the concessionaire's
annual gross revenues will exceed $500,000, the Solicitation Agent may, but
shall not be required to, reissue the solicitation as a request for proposals.
(b) Major Concessions. Concession agreements for which the concessionaire's
projected annual gross revenues under the contract are estimated to exceed
$500,000 annually shall be awarded using a request for proposals.
L.4u.y9u Nunlic t;ontracts - Informal Solicitation Procedures. The City of Central
Point may use the following procedure for informal solicitations in lieu of the procedures set forth
in the Model Rules.
A. Informally Solicited Quotes and Proposals.
(1) Solicitation of Offers. When authorized by these regulations, an informal solicitation
may be made by general or limited advertisement to a certain group of vendors, by direct
inquiry to persons selected by the Solicitation Agent, or in any other manner which the
Solicitation Agent deems suitable for obtaining competitive quotes or proposals. The
Solicitation Agent shall deliver or otherwise make available to potential offerors, a written
scope of work, a description of how quotes or proposals are to be submitted and
description of the criteria for award.
(2) Award. The Solicitation Agent shall attempt to obtain a minimum of three written
quotes or proposals before making an award. If the award is made solely on the basis of
price, the Solicitation Agent shall award the contract to the responsible offeror that
submits the lowest responsive quote. If the award is based on criteria other than, or in
addition to, price, the Solicitation Agent shall award the contract to the responsible
offeror that will best serve the interest of the City of Central Point, based on the criteria
for award.
(3) Records. A written record of all persons solicited and offers received shall be
maintained. If three offers cannot be obtained, a lesser number will suffice, provided that
a written record is made of the effort to obtain the quotes.
B. Qualified Pools.
(1) General. To create a qualified pool, the Purchasing Agent may invite prospective
contractors to submit their qualifications to the City of Central Point for inclusion as
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participants in a pool of contractors qualified to provide certain types of goods, services,
or projects including personal services, and public improvements.
(2) Advertisement. The invitation to participate in a qualified pool shall be advertised in
the manner provided for advertisements of invitations to bid and requests for proposals
by publication in at least one newspaper of general statewide circulation. If qualification
will be for a term that exceeds one year or allows open entry on a continuous basis, the
invitation to participate in the pool must be re -published at least once per year and shall
be posted at the City of Central Point's main office and on its website.
(3) Contents of Solicitation. Requests for participation in a qualified pool shall describe
the scope of goods or services or projects for which the pool will be maintained, and the
minimum qualifications for participation in the pool, which may include, but shall not be
limited to qualifications related to financial stability, contracts with manufacturers or
distributors, certification as an emerging small business, insurance, licensure, education,
training, experience and demonstrated skills of key personnel, access to equipment, and
other relevant qualifications that are important to the contracting needs of the City of
Central Point.
(4) Contract. The operation of each qualified pool may be governed by the provisions of
a pool contract to which the City of Central Point and all pool participants are parties.
The Contract shall contain all terms required by the City of Central Point, including,
without limitation, terms related to price, performance, business registration or licensure,
continuing education, insurance, and requirements for the submission, on an annual or
other periodic basis, of evidence of continuing qualification. The qualified pool contract
shall describe the selection procedures that the City of Central Point may use to issue
contract job orders. The selection procedures shall be objective and open to all pool
participants and afford all participants the opportunity to compete for or receive job
awards. Unless expressly provided in the contract, participation in a qualified pool will
not entitle a participant to the award of any City of Central Point contract.
(5) Use of Qualified Pools. Subject to the provisions of these regulations concerning
methods of solicitation for classes of contracts, the City Council shall award all contracts
for goods or services of the type for which a qualified pool is created from among the
pool's participants, unless the City Council determines that best interests of the City of
Central Point require solicitation by public advertisement, in which case, pool
participants shall be notified of the solicitation and invited to submit competitive
proposals.
(6) Amendment and Termination. The Purchasing Agent may discontinue a qualified
pool at any time, or may change the requirements for eligibility as a participant in the
pool at any time, by giving notice to all participants in the qualified pool.
(7) Protest of Failure to Qualify. The Purchasing Agent shall notify any applicant who
fails to qualify for participation in a pool that it may appeal a qualified pool decision to the
City Council in the manner described in section 13.
2.40.100 Public Contracts - Use of Brand Name Specifications for Public
Improvements.
A. In General. Specifications for contracts shall not expressly or implicitly require any
product by one brand name or mark, nor the product of one particular manufacturer or seller,
except for the following reasons:
(1) It is unlikely that such exemption will encourage favoritism in the awarding of Public
improvement Contracts or substantially diminish competition for Public improvement
Contracts; or
(2) The specification of a product by brand name or mark, or the product of a particular
manufacturer or seller, would result in substantial cost savings to the City of Central
Point; or
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(3) There is only one manufacturer or seller of the product of the quality required; or
(4) Efficient utilization of existing equipment, systems or supplies requires the acquisition
of compatible equipment or supplies.
B. Authority of Purchasing Agent. The City Council shall have authority to determine
whether an exemption for the use of a specific brand name specification should be granted by
recording findings that support the exemption based on the provisions of subsection A.
C. Brand Name or Equivalent. Nothing in this section 10 prohibits the City of Central
Point from using a "brand name or equivalent" specification, from specifying one or more
comparable products as examples of the quality, performance, functionality or other
characteristics of the product needed by the City of Central Point, or from establishing a
qualified product list.
2.40.110 Public Contracts - Bid, Performance and Payment Bonds.
A. Solicitation Agent May Require Bonds. The Solicitation Agent may require bid security
and a good and sufficient performance and payment bond even though the contract is of a class
that is exempt from the requirement.
B. Bid Security. Except as otherwise exempted, the solicitations for all contracts that
include the construction of a public improvement and for which the estimated contract price will
exceed $75,000 shall require bid security. Bid security for a request for proposal may be based
on the City of Central Point's estimated contract price.
C. Performance Bonds.
(1) General. Except as provided in these regulations, all public contracts are exempt
from the requirement for the furnishing of a performance bond.
(2) Contracts Involving Public Improvements. Prior to executing a contract for more than
$50,000 that includes the construction of a public improvement, the
House Bill 2214 is changing the law to only require bid and performance bonds or
contracts with a value estimated by the contracting agency of more than $50,000.
Contractor must deliver a performance bond in an amount equal to the full contract price
conditioned on the faithful performance of the contract in accordance with the plans,
specifications and conditions of the contract. The performance bond must be solely for
the protection of the City of Central Point and any public agency that is providing funding
for the project for which the contract was awarded.
(3) Cash -in -Lieu. The Purchasing Agent or City of Central Point may permit the
successful offeror to submit a cashier's check or certified check in lieu of all or a portion
of the required performance bond.
D. Payment Bonds.
(1) General. Except as provided in these regulations, all public contracts are exempt
from the requirement for the furnishing of a payment bond.
(2) Contracts Involving Public Improvements. Prior to executing a contract for more than
$50,000 that includes the construction of a public improvement, the contractor must
deliver a payment bond equal to the full contract price, solely for the protection of
claimants under ORS 279C.600.
E. Design/Build Contracts. If the public improvement contract is with a single person to
provide both design and construction of a public improvement, the obligation of the performance
bond for the faithful performance of the contract must also be for the preparation and completion
of the design and related services covered under the contract. Notwithstanding when a cause of
action, claim or demand accrues or arises, the surety is not liable after final completion of the
contract, or longer if provided for in the contract, for damages of any nature, economic or
otherwise and including corrective work, attributable to the design aspect of a design -build
project, or for the costs of design revisions needed to implement corrective work.
F. Construction Manager/General Contractor Contracts. If the public improvement
contract is with a single person to provide construction manager and general contractor
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services, in which a guaranteed maximum price may be established by an amendment
authorizing construction period services following preconstruction period services, the contractor
shall provide the bonds required by subsection A. of this section upon execution of an
amendment establishing the guaranteed maximum price. The City of Central Point shall also
require the contractor to provide bonds equal to the value of construction services authorized by
any early work amendment in advance of the guaranteed maximum price amendment. Such
bonds must be provided before construction starts.
G. Surety; Obligation. Each performance bond and each payment bond must be
executed solely by a surety company or companies holding a certificate of authority to transact
surety business in Oregon. The bonds may not constitute the surety obligation of an individual
or individuals. The performance and payment bonds must be payable to the City of Central
Point or to the public agency or agencies for whose benefit the bond is issued, as specified in
the solicitation documents, and shall be in a form approved by the Purchasing Agent.
H. Emergencies. In cases of emergency, or when the interest or property of the City of
Central Point probably would suffer material injury by delay or other cause, the requirement of
furnishing a good and sufficient performance bond and a good and sufficient payment bond for
the faithful performance of any public improvement contract may be excused, if a declaration of
such emergency is made in accordance with the provisions of section 8.G, unless the City
Council requires otherwise.
2.40.120 Public Contracts - Electronic Advertisement of Public Contracts. In lieu of
publication in a newspaper of general circulation in the City of Central Point metropolitan area,
the advertisement for an invitation to bid or request for proposals may be published
electronically by posting on the City of Central Point's website, provided that the following
conditions are met:
A. The placement of the advertisement is on a location within the website that is
maintained on a regular basis for the posting of information concerning solicitations for projects
of the type for which the invitation to bid or request for proposals is issued; and
B. The Solicitation Agent determines that the use of electronic publication will be at least
as effective in encouraging meaningful competition as publication in a newspaper of general
circulation in the City of Central Point metropolitan area and will provide costs savings for the
City of Central Point, or that the use of electronic publication will be more effective than
publication in a newspaper of general circulation in the City of Central Point metropolitan area in
encouraging meaningful competition.
A. Right to Hearing. Any person who has been debarred from competing for City of
Central Point contracts or for whom prequalification has been denied, revoked or revised may
appeal the City of Central Point's decision to the City Council as provided in this section 13.
B. Filing of Appeal. The person must file a written notice of appeal with the City of
Central Point's Purchasing Agent within three business days after the prospective contractor's
receipt of notice of the determination of debarment, or denial of prequalification.
C. Notification of City Council. Immediately upon receipt of such notice of appeal, the
Purchasing Agent shall notify the City Council of the appeal. The Model Rules discuss
electronic advertisement vaguely.
D. Hearing. The procedure for appeal from a debarment or denial, revocation or revision
of prequalification shall be as follows:
(1) Promptly upon receipt of notice of appeal, the City of Central Point shall notify the
appellant of the time and place of the hearing;
(2) The City Council shall conduct the hearing and decide the appeal within 30 days after
receiving notice of the appeal from the Purchasing Agent; and
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(3) At the hearing, the City Council shall consider de novo the notice of debarment, or
the notice of denial, revocation or revision of prequalification, the standards of
responsibility upon which the decision on prequalification was based, or the reasons
listed for debarment, and any evidence provided by the parties.
E. Decision. The City Council shall set forth in writing the reasons for the decision.
F. Costs. The City Council may allocate the City Council's costs for the hearing between
the appellant and the City of Central Point. The allocation shall be based upon facts found by
the City Council and stated in the City Council's decision that, in the City Council's opinion,
warrant such allocation of costs. If the City Council does not allocate costs, the costs shall be
paid as by the appellant, if the decision is upheld, or by the City of Central Point, if the decision
is overturned.
G. Judicial Review. The decision of the City Council may be reviewed only upon a
petition in the circuit court of Jackson County filed within 15 days after the date of the City
Council's decision.
Passed by the City Council and signed by me in authentication of its passage
this l3�~ day of. 2006
irn��%22C�C :L✓�c��
/ Mayor Hank Williams
ATTEST: f
City Recorder
Approved by me this 17 day of , / '2006
Mayor Hank Williams
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