Ordinance 10-11ORDINANCE NO. 2010-11
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF EASTV ALE ADDING
CHAPTER 3.12 ENTITLED "PURCHASING; PROFESSIONAL SERVICES·
DISPOSITION OF SURPLUS SUPPLIES AND EQUIPMENT" '
IN THE EASTVALE MUNICIPAL CODE
SECTION 1. . A new Chapter 3. ~ ~ entitled "Purchasing; Professional Services; Disposition of
Surplus Supplies and Equ1pment 1s hereby added to Title 3 of the Eastvale Municipal Code to
read as follows:
Sections:
3.12.010
3.12.020
3.12.030
3.12.040
3.12.050
3.12.060
3.12.070
3.12.080
3.12.090
3.12.100
"Chapter 3.12
PURCHASING; PROFESSIONAL SERVICES;
DISPOSITION OF SURPLUS SUPPLIES AND EQUIPMENT
Adoption of purchasing system
Authority and responsibility
Determination of purchasing requirements
Purchasing limitations
Competitive informal bidding procedures
Competitive formal bidding procedures
Exemption from bidding upon determination of Purchasing Officer or City
Council
Professional service contracts; exempt from bidding
Change Orders
Disposal of surplus supplies or equipment
3.12.010 Adoption of purchasing system. In order to establish efficient procedures
for the purchase of supplies, services and equipment, to secure for the City supplies, services
and equipment at the lowest possible cost commensurate with quality needed, to exercise
positive financial control over purchases, to clearly define authority for the purchasing function
through the use of purchase orders, contracts and other authorized procedures, and to assure
the quality of purchases, the purchasing system set forth in this Chapter is adopted for the City
of Eastvale. This Chapter does not apply to public works construction contracts. This Chapter
shall apply to professional services contracts only as specifically provided here.
3.12.020 Authority and responsibility. The authority and responsibility for the
purchase of supplies and equipment, procurement of professional services and disposition of
surplus supplies and equipment is vested in the City Manager and City Council. The City
Manager is the Purchasing Officer and may designate another City employee to serve as the
Purchasing Officer and delegate to that person the duties and responsibilities imposed by this
Chapter on the Purchasing Officer. The Purchasing Officer may promulgate rules and
procedures necessary to carry out the responsibilities of this Chapter. The head of each City
department is responsible for administering and implementing for that department the
purchasing policies and procedures set forth in this Chapter.
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(a) In addition to administering these policies and procedures, the Purchasing Officer
and each department head shall:
(1) In awarding contracts or issuing purchase orders, first consider sources of
supplies and equipment located within the City. The City Council has encouraged all residents
and businesses located within the City of Eastvale to shop locally at businesses located in the
City. In keeping with this policy, the Purchasing Officer shall make every attempt to purchase
supplies and equipment from Eastvale businesses in accordance with this Chapter. The
Purchasing Officer shall maintain a list of Eastvale vendors offering the types of supplies and
equipment used by the City and shall circulate this list to all City departments. The Purchasing
Officer or City Council may give preference to local bidders when awarding any contract or
issuing any purchase order for the purchase of goods when the bids meet any of the following
criteria to the extent allowed by law.
i. The difference between bids from local bidders and those outside the
City is less than the current sales tax benefit the City would receive from the local sales tax; and
ii. The local bidder will be able to provide goods which are equal in
quality and meet all bid specifications of the City and of other competing bidders; or
iii. A reasonable condition of the contract performance is expeditious
delivery of goods and it is reasonably believed that the local bidder will be able to provide its
goods more expeditiously than a business located outside the City; or
iv. Any other reason which would factually justify selection of a local
bidder based upon criteria which do not illegally discriminate against outside businesses.
(2) Keep informed of current developments in market conditions and new
products and maintain a bidder's list, vendors catalogue files or other records needed for the
efficient purchase of supplies and equipment.
(3) Cause supplies and equipment delivered to the City to be inspected to
determine their conformance with specifications.
(4) Evaluate contract services performed to determine conformance with the
specifications set forth in the contract.
(5) Consider and encourage the purchase and use of environmentally
friendly, "green" and recyclable materials and products, whenever practicable.
(6) The term "department head" as used in this division means the person
who is designated by the City Manager as being responsible for each particular City
department, including, but not limited to, City Manager, City Clerk, Finance, Planning,
Community Services, Law Enforcement Services, Fire Protection Services, and
Engineering/Public Works.
3.12.030. Detennination of purchasing requirements. The adopted budget for each
department for each fiscal year shall include funding for the necessary supplies, services, and
equipment for that department during the fiscal year. Except in cases of emergency, the City
Manager shall not issue any purchase order for supplies, services or equipment unless there
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exists an unencumbered appropriation in the department account against which such purchase
is to be charged.
(a) Each department head or his/her designee shall ensure that sufficient
documentation is submitted to the Purchasing Officer, with a request for purchase to
demonstrate compliance with these policies and procedures and to justify the acquisition of
supplies and equipment.
3.12.040 Purchasing limitations. For the purchase of supplies, equipment, and
nonprofessional services, such purchases may be made by the employees designated in this
section subject to compliance with the procedures and limitations contained in this section.
(1) For purchases of $100 or less, petty cash may be used and the applicable
department head or their designee must approve the purchase. It is not required that bids be
obtained for such purchases. No purchase order is necessary; the receipt should be provided to
the responsible department head or the Purchasing Officer.
(2) For purchases over $100 but less than $2,000, the applicable department head
must approve the purchase. No purchase order is necessary, and it is not required that bids be
obtained for such purchases. Requests for purchases shall be made on forms prescribed and
provided by the Purchasing Officer (requisition forms).
(3) For purchases that are equal to or exceed $2,000 but are less than $5,000, the
Purchasing Officer must approve and execute the purchase order or contract for the purchase.
It is not required that bids be obtained for such purchases. Requests for these purchases shall
be made on forms prescribed and provided by the Purchasing Officer (requisition forms and
purchase orders). Purchase orders shall be reviewed and signed by the Director of Finance.
(4) For purchases that are equal to or exceed $5,000, but are less than $25,000, the
Purchasing Officer must approve and execute the purchase order or contract tor the purchase.
Purchase orders shall be signed by the Director of Finance or the City Manafer. Contracts shall
be subject to approval as to form by the City Attorney. Before the purchase is made, three
written informal bids must be obtained from vendors and each of these bids must be
documented, all in accordance with Section 3. 12.050. Verbal bids will not be accepted in
satisfaction of this requirement.
(5) For purchases of $25,000 or more, the City Council must approve the contract for
the purchase. Contracts shall be subject to approval as to form by the City Attorney. Prior to
City Coundl approval, three written formal bids must be obtained from prospective vendors, in
accordance with Section 3.12.060. Verbal bids will not be accepted in satisfaction of this
requirement. The City Coundl may authorize that such purchase orders or contracts be
executed by the City Manager.
3.12.050. Competitive informal bidding procedures. For purchases of supplies,
equipment, or nonprofessional services with a value of $5,000 or more at least three bids must
be obtained; and the applicable department shall solicit bids by written request to prospective
vendors. Further, the purchase order or contract for such purchases shall be awarded to the
lowest responsible vendor, consistent with the quality, quantity and delivery requirements. The
lowest responsible bidder shall be determined by such factors as reputation, ability, references,
quality of supplies and equipment, and price. Bids shall be submitted to the Purchasing Officer,
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who shall keep a record of all informal orders and bids for a period of six (6) months after
placement of the order. This record, while kept, shall be open to public inspection.
3.12.060. Competitive formal bidding procedures. Contracts for supplies, equipment,
and nonprofessional services of estimated value of $25,000 or more shall be let by the formal
procedures set forth herein.
(1) The Purchasing Officer shall mail notices inviting formal bids. The notices
shall be mailed to all qualified vendors on the bid list or who have requested their name to be
added thereto unless the products or service is proprietary.
(2) The notices shall be mailed no later than ten (10) calendar days before
the opening date of the bids. The notices shall describe the supplies and equipment in general
terms, how to obtain more detailed information, and state the time and place for submission of
bids.
(3) The notice inviting bids shall be published at least ten (10) calendar days
before the date of opening of the bids. Notice shall be published in a newspaper of general
circulation, printed and published in the City or, if there is none, it may be posted in at least
three (3) public places in the City that have been designated by ordinance as the places for
placing public notices or it may be published in a newspaper circulated in the City.
(4) The City Clerk shall also post a notice of pending purchases on a public
bulletin board at City Hall.
(5) Sealed bids shall be submitted to the City Clerk and shall be identified as
bids on the envelope. Bids shall be opened in public by the City Clerk or designee at the time
and place stated in the public notices. A tabulation of all bids shall be open for public inspection
during regular business hours for a period of not less than thirty {30) calendar days after the bid
opening.
(6) Contracts shall be awarded by the City Council to the lowest responsible
bidder except as otherwise provided herein. The decision of the City Council shall be final.
(7) In its discretion, the City Council may reject any bids presented, abandon
the purchase or advertise again. After rejecting the bids submitted, the City Council may either
advertise again or adopt a resolution by a four-fifths (4/5) majority declaring that the supplies or
equipment can be furnished at a lower price in the open market, and may award the contract in
the open market without further compliance with this section.
(8) If two {2) or more bids received are the same and are the lowest, the City
Council may accept the one it chooses.
(9) If no bids are received, the purchase may be let in the open market or by
the informal procedures set forth in Section 3.12.050.
(10) The City Council shall have the right to waive any defect or informality in
the bidding or in the procedures set forth in this section. A waiver of any defect or informality
shall not void any contract subsequently entered into.
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. 3.12.~70. Exe~~on fro~ bidding upon detennination of Purchasing Officer or
~ity ~ounc11. The b1ddmg requirements set forth in this Chapter may be waived, at the
d1scret1on of the Purchasing Officer, when any of the following is applicable:
(1} The product is proprietary.
(2) After a reasonable attempt has been made to obtain bids, and it has been
determined by the Purchasing Officer that three (3} bids cannot be obtained,
(3) The Purchasing Officer finds that emergency conditions require the
immediate purchase of supplies or equipment. For the purpose of this section, emergency
purchases are those procurements required to prevent the immediate interruption or cessation
of necessary City services or to safeguard life, property or the public health and welfare.
(4) The Purchasing Officer determines that due to the nature of the supplies
or equipment, formal bidding is not likely to result in the lowest price.
(5) Sufficient, satisfactory bids are not received.
(6) Supplies or equipment are procured through a cooperative purchasing
program with the federal, state, county or other public agencies.
(7) The commodity is unique, including, but not limited to, acquisition of data
processing, telecommunications and word processing equipment, goods and services.
(8) The product or service can be obtained from only one vendor (sole
source).
(9) The purchase of a specific brand name, make or model is necessary to
match existing City equipment or facilitate effective maintenance and support.
The bidding requirements of this Chapter may be waived by the City Council when, in the
opinion ofthe City Council, compliance with the procedures is not in the best interest of the City.
3.12.080. Professional service contracts; exempt from bidding. Professional
services are defined as services provided by any specially trained and experienced person or
firm, including but not limited to, persons or firms in the areas of accounting, administration,
architecture, construction management, economics, environmental analysis, engineering,
finance, landscape architecture, law, planning, surveying, or other matters involving specialized
expertise or unique skills.
(a) Contracts awarded for the performance of services in the above-listed areas shall
be awarded by the City Council on the basis of the demonstrated competence of the
contractors, and on the contractor's professional qualifications necessary for the satisfactory
performance of the services required, and on the fairness and reasonableness of the cost of the
services to the City, and shall not be awarded solely on the basis of cost. The competitive
formal bidding requirements set forth in Section 3.12.060 are not applicable to the procurement
of professional services.
(b) Subject to compliance with the procedures set forth in this section, the
Purchasing Officer may enter into and execute contracts or purchase orders for professional
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services ~hen t~e cost of such services is le~s than $25,000 per fiscal year. City Council
approval as requared for all contracts for professtonal services when the cost of the services is
$25,000 or more per fiscal year. The City Council may authorize that such contracts be
executed by the City Manager.
(c) Notwithstanding the above provisions of this Section, all contracts for the
performance of the annual audit of the City's financial statements shall be competitively bid by
obtaining at least three proposals for providing the required services, evaluating the proposals
pursuant to criteria set forth in subsection (b), and awarding the contract based on the best
proposal. Further, the award of all such contracts regardless of cost shall be approved by the
City Council.
3.12.090. Change Orders. Following the award of a contract or issuance of a purchase
order for materials, supplies, equipment, services, or construction contracts, the contract or
purchase order may be amended by the issuance of a change order, provided the change which
is the subject of amendment is reasonably related to the scope of the original contract. The
Purchasing Officer will maintain control relative to the scoping, estimating, and negotiating ofthe
proposed change(s) and the Director of Finance will certify the availability of funds for the
proposed change in the event that the change order increases the contract cost. On a regular
basis, a report will be submitted to the City Council outlining all change orders that have been
issued to contracts governed by this Chapter during the reporting period. Any change order
with a total cost less than $25,000 may be approved by the Purchasing Officer, provided the
aggregate amount of all changes to a particular contract, induding the change order under
consideration, does not exceed ten (1 0) percent of the original contract cost. Any change order
in an amount of $25,000 or more or any change order which, when considered with the
aggregate amount of all other changes to a contract, exceeds ten (10) percent of the original
contract cost, shall be approved by the City Council. Any time extension of the performance
deadline up to a total of sixty (60) days may be approved by the Purchasing Officer. Any time
extension of a performance deadline that exceeds sixty (60) days shall be approved by the City
Council. If a proposed contract modification, change order or request for extra work exceeds the
limitations imposed upon the Purchasing Officer by this section or by resolution, and any
extended delay in obtaining City Council approval is reasonably determined to subject the city to
liability for damages incurred by a contractor, or to jeopardize the public health, welfare, or
safety, or to otherwise result in potential detriment to the city, then the Purchasing Officer shall
have authority to exceed the dollar amounts or percentage limitations specified herein. All
contract modifications shall be subject to approval as to form by the City Attorney.
3.12.100. Disposal of surplus supplies or equipment. The head of any City
department may declare supplies or equipment (collectively "personal property") held by such
department surplus. Such dedaration shall be in writing and the written declaration shall be
delivered to the City Manager who shall maintain a written inventory of surplus supplies and
equipment for circulation to and review by each department. If any department has use for such
personal property, the department head may request reassignment of such personal property
from the City Manager. The City Manager shall have the authority to assign the personal
property to the department best able to make use of such personal property. If no department
head makes a request for use of such personal property after the inventory report has been
circulated for one month, the personal property shall be deemed surplus.
(a) The City Manager shall have the authority to dispose of surplus supplies or
equipment by auction or sale or otherwise after receiving bids or proposals which, in his
judgment, provide the best return to the City.
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(1) Sale on the open market. The City Manager shall cause to be published
at least three days before the sale, in a locally adjudicated newspaper or newspaper circulated
in th~ ~ity, and by posting on any City website, a notice of sale setting forth a general
descnpt1on of the personal property to be sold, and the day, time and location of the sale. The
terms of all such sales shall be cash in the amount of the full purchase price.
(2) Sale by sealed bid or auction. As an alternative to the sale on the open
market, the City Manager may, when in his/her judgment it is in the best interest of the City, sell
surplus personal property by means of sealed bid or public auction.
In the case of sale by sealed bid or public auction, the City Manager shall
cause to be published at least three days before the sale, in a locally adjudicated newspaper,
and by posting on any City website, a notice setting forth a general description of the surplus
personal property to be sold, and the day, time and location of the sale. The terms of all such
sales shall be cash in the amount of the full purchase price.
In conducting an auction, the City Manager may contract with a
professional auctioneer and allow a flat fee, hourly fee or percentage of the amount of the sale
to be paid based upon that which is common and customary method and rate for such
auctioneering services.
(b) The City Manager may, when in his/her judgment sale or auction of surplus
personal property is infeasible or will result in minimal return to the City, recommend to the City
Council that such surplus personal property be donated to any other governmental organization
(including those outside the United States) or non-profit group or corporation exempt from
federal taxes pursuant to Internal Revenue Code Section 501 (c) (3) located within or serving the
City of Eastvale. Surplus personal property shall only be donated upon approval by the City
Council."
SECTION 2. If any section, subsection, subdivision, sentence, clause, phrase, or portion of
this Ordinance is for any reason held to be invalid or unconstitutional by the decision of any
court of competent jurisdiction, such decision shall not affect the validity of the remaining
portions of this Ordinance. The City Council hereby declares that it would have adopted this
Ordinance, and each section, subsection, subdivision, sentence, clause, phrase, or portion
thereof, irrespective of the fact that any one or more sections, subsections, subdivisions,
sentences, clauses, phrases or portions thereof be declared invalid or unconstitutional.
SECTION 3. The provisions of this ordinance are intended to and do supersede any
provisions of the ordinance of the County of Riverside which cover the same matters as in this
Ordinance and which are in effect pursuant to Ordinance No. 2010-1 of the City.
SECTION 4. Effective Date. This Ordinance shall take effect thirty days after adoption as
provided by Government Code Section 36937.
SECTION 5. The City Clerk shall certify the adoption of this Ordinance and shall cause the
same to be posted as required by law.
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PASSED, APPROVED AND ADOPTED this 12th day of January, 2011.
ity Attorney
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STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) §
CITY OF EASTV ALE )
I, Judy L. Haughney, INTERIM CITY CLERK OF THE CITY OF EASTV ALE, DO HEREBY
CERTIFY that the foregoing Ordinance Number 2010-11 was duly and regularly adopted by the
City Council of the City ofEastvale at a regular meeting held the 12th day of January, 2011, by
the following called vote:
AYES: council Members Howell, Welch, Bootsma, Mayor Pro Tern
DeGrandpre and Mayor Rush
NOES: None
ABSENT: None
ABSTAIN: None
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