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O1125 ~ ,~ - . rCA ~~SSS'~~ COrm~~ge Santa Monica,4IJ1ifornia ORDINANCE NO. 1125(CCS) (City Council Series) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA AMEN- DING SECTIONS 2506, 2506A, 2507, 2508, 2508A, AND 2509 OF THE SANTA MONICA MUNICIPAL CODE, CONCERNING COMPETITIVE BID PURCHASING PROCEDURES. WHEREAS, The competitive bid purchasing procedures set forth in Santa Monica Municipal Code Sections 2506, 2507, 2508, 2508A and 2509 were last amended on April 10, 1951; and \~EREAS, the competitive aspects of purchasing procedures are instituted to obtain savings for the City; and WHEREAS, many minor purchases do not justify the delay and expense involved in formal bid procedures; and WHEREAS, inflationary factors have significantly diminished the purchasing power of two thousand dollars ($2,000) which is the current level above which formal bid procedures are required; and WHEREAS, there is an informal bid procedure which eliminates delay and expense for minor purchases; and WHEREAS, there are now authorized exceptions to the competi- tive bid procedure which exist because competition does not exist or because the procedure would be repetitive of other efforts. THE CITY COUNCIL OF THE CITY OF SANTA MONICA ORDAINS AS FOLLOWS: SECTION 1. Section 2506 of the Santa Monica Municipal Code is amended to read as follows: 1 of 8 CA RL~ SSS ac . Counc.,Mtg.'" Santa Monica, Cal_ rnia nSECTION 2506. COMPETITIVE BIDDING." Pursuant to the terms of Section 1503 of the Santa Monica City Charter, and in every case except as stated in Section 2506A, before making any purchase of, or contract for supplies, materials, equipment or contractual services, or before any sale of personal property of the City which has become obsolete, or unusable, or for any other reason is to be disposed of, the purchasing agent shall give ample opportunity for competitive bidding under the rules and regulat- ions and with such exceptions as are prescribed in the following sections. SECTION 2 Section 2506A of the Santa Monica Municipal Code is amended to read as follows: nSECTION 2506A. EXCEPTION TO COMPETITIVE BIDDING" The competitive bid procedure is not applicable to those ins tances where: (1) Competition does not exist, such as membership in professional organizations, meetings, conventions, travel, legal advertising, public utilities, and proprietary items of original equipment manufacturers and/or their authorized exclusive distributors. (2) Competitive bid procedures have already been utilized, such as in purchasing from federal, state, or county agencies and these materials and services are supplied to the City at the same or better price. (3) Items to be purchased are for resale to the public, such as but not limited to the Civic Auditorium Snack Bar or Cemetery Plot Marking products. 2 of 8 'CA RLK: SSS. Counce Mtg" Santa Monica. C~fornia (4) Contracts are for Professional Services. SECTION 3. Section 2507 of the Santa Monica Municipal Code is amended to read as follows: "SECTION 2507. INFOR..1>.fAL PURCHASING PROCEDURES" (1) CONVENIENCE PURCP~SE ORDERS. a) Individual purchase related to the City's main- tenance requirements, amounting to less than two hundred fifty dollars ($250.00) aggregate amount per purchase order are exempted from comp- etitive bid requirements. b) In the event that the savings potential clearly does not justify this exemption, open market request-for-quotation procedures shall be followed. (2) OPEN MARKET ORDERS. Except as provided in Sections 2506A or 2507(1). all purchases of supplies. materials, equipment or contractual services, and all sales of personal property of the City which has become obsolete or unusable, or for any other reason is to be disposed of not more than five thousand dollars ($5,000) in amount, shall be made in the open market, without the requirement of formal newspaper advertising. All open market purchases, wherever possible, shall be based upon not less than three (3) competitive bids and shall be awarded to the person offering the lowest and best bid. The Purchasing Agent shall solicit bids by direct mail request to prospective vendors, or by telephone, and by public notice on the bulletin board in the Division of Purchases. The Purchasing Agent shall keep a record of all open market orders and the bids submitted in competition thereon, and such 3 of 8 ., .~ ,- CA RLK: SSS.ra CounceMtg., Santa Monica.4Illifornia records shall also be open to public inspection. SECTION 4. Section 2508 of the Santa Monica Municipal Code is amended to read as follows: "SECTION 2508. FOR-MAL BIDDING PROCEDURES. 11 All purchases of supplies, material, equipment or contractual services, except professional services, and all sales or personal pro- perty of the City which has become obsolete or unusable, or for any other reason is to be disposed of, of more than five thousand dollars ($5.000) in amount, shall be made after publication in the official newspaper, by two or more insertions, of notices inviting bids there- for, the first of which shall be at least ten (10) days before the time for opening said bids. At the time specified in the notice inviting bids, such bids, shall be opened and declared publicly The Purchasing Agent shall tabulate all bids received pursuant to this Section and shall refer them to the City Manager for presentation to the City Council, which shall make the awards. The City Council may reject any and all bids presented and may re-advertise in its discretion. After rejecting bids, or if no bids are received, the City Council may declare and determine that, in its opinion, the supplies, materials, equipment or contractual services may be purchased under more favorable circumstances in the open market, and after the adoption of a resolution to this effect by at least five (5) affirmative votes, it may proceed to have such supplies, materials, equipment or contract- ual services purchases in the manner stated, without further observance of the provisions of this Section. 4 of 8 . CA RLkSSS lia Coun. Mtg_ Santa Monica. ca~ornia Such purchases may be made without advertising for bids if the purchase of such supplies, materials. equipment or contractual services shall be deemed by the City Council to be of urgent necessity for the preservation of life. health or property and shall be author- ized by at least five (5) affirmative votes, or it shall be determined by such vote of the City Council that to advertise for bids would be to no avail and would cause unecessary expense and delay. SECTION 5. Section 2508A of the Santa Monica Municipal Code is amended to read as follows: I1SECTION 2508A. SALE OF REAL PROPERTY" All sales of real property owned by the City of Santa Monica shall be made after publication in the official newspaper by two or more insertions of notice invitings bids therefor. the first of which shall be at least ten (10) days before the time for opening said bids. Such sales shall be awarded to the highest and best bidder. At the time specified in the notice inviting bids. such bids publicly may be opened and declared. The Purchasing Agent shall tabulate all bids received pursuant to this Section and shall refer them to the City Manager for presentation to the City Council and the Council shall make the award. The City Council may reject any and all bids presented and may re- advertise in its discretion. After rejecting bids, or if no bids are received, the City Council may declare and determine that in its opinion such real property may be sold in the open market and after the adoption of a resolution to this effect at least five (5) affirmative votes. it may proceed to have such real property sold without further observance of the necessity of calling for bids. 5 of 8 .~ CA RLWss:e Counc. Mt g . ~ Santa "fonica, cafornia Sales of real pro~erty may be ~ade without advertisinp, for bids if the City Council, by a resolution ado~ted bv at least +ive (5) affirmative votes, shall determine by such vote that to advertise for bids would be to no avail and would cause unnecessary expense and delay or would not be in the best interests of the City The City Council, by resolution, ~ay authorize the sale of City-owned real property pursuant to the provisions of this Section if by the same or other resolution it has been declared that such property is no longer needed for the purpose acquired and that said property or the title thereto is not needed for any public purpose. SECTION 6. Section 2509 of the Santa !fonica Municipal Code is amended to read as follows. T1SECTION 2509. EMERGENCY PURCHASES." In case an emergency shall arise which is so urgent as to pre- clude action by the City Council and which requires any nurchase of sunolies, materials, equ~pment or contractual services, the City y.~ana?er may authorize the Purchasing Agent to secure in the open ~arket at the lowest reasonable price, any such supplies, materials, equiPMent or contractual services even though the amount thereof shall exceed the sum of twentv-~ive thousand dollars ($25,000) In each such instance, the City Manager shall sub~it to the City Council in writing, a full explanation of the circumstances of such emergency which shall become a nart of the next ensuiny, meeting of such City Council and shall be open to public insnection. SECTION 7 Any provisions of the Santa l-!onica "~unicinal Code or aonendices thereto inconsistent herewith, to the extent of such inconsistencies and 6 of 8 ..{ tA RLK SSS m_ counc.t . = Santa Honica, C__ fornia no further, are hereby repealed or modified to that extent necessary to effect the provisions of this ordinance. SECTION 8. If any section, subsection, sentence, clause or phrase of this ordinance is for any reason held to be invalid or unconstitutional by a decision of any court o~ competent lurisdiction, such decision shall not affect the validity of the remainder o~ this ordinance. The City Council hereby declares that it would have passed this ordinance and each and every section, subsection, sentence, clause or ohrase not declared invalid or unconstitutional without regard to whether any portion of the ordinance would be subseauently declared invalid or unconstitutional. SECTION 9. The Mayor shall sign and the City Clerk shall attest to the passage of this ordinance. The City Clerk shall cause the saMe to be published once in the official newspaner within fifteen (15) days after its adoution. The ordinance shall become effective after thirty (30) days from its adoption. 7 of 8 't ,. CA RLK:S.~S:nc ~c11 g. " Santa Monica, e-i fornia ADOPTED and APPROVED this 22nd day of May., 1979. !\TTEST: . ,~J~ tYt~ ~ier~,-~ APPROVED AS TO FOR"1: SEdo ~~Stri. ~ Clty Attorney r; r I, q /7 r' U ,-.~~ /2, ~~ llAYOR PRO TEMPORE 8 of 8 . -).. .. . e e . ADOPTED AND APPROVED THIS 22nd DAY OF May Ie 1979. ~~ h I?-L- IL MAYOR PRO TEMPORE I HEREBY CERTIFY THAT THE FOREGOING ORDINANCEJ No. 1125 ) WAS DULY AND REGULARLY INTRODUCED AT A MEETING OF THE CITY COUNCIL ON THE 8th DAY OF May I 1979; THAT THE SAID ORDINANCE WAS THEREAFTER DULY ADOPTED AT A MEETING OF THE CITY COUNCIL ON THE 22nd DAY OF May BY THE FOLLOWING COUNCIL VOTE: J 1979 AYES: COUNe I L~1Et-mERS: Bambrlck, Jennings, Scott, SWlnk, Vannatta, Mayor Pro Tempore Reed NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: Mayor van den Steenhoven ATTEST: 1(). ~ - ~-~'. /IJ _ ~,~~- ~ CtfR~- .