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O1951 (2) f \atty\munl\laws~l\bldpref-1 wpd City Council Meeting 9-14-99 Santa MOnica, California ORDINANCE NUMBER 1951 (CCS) (City Council Serres) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA AMENDING SECTIONS 2 24.090(2) AND 2 24 100 OF THE SANTA MONICA MUNICIPAL CODE TO PROVIDE A 1% BIDDING PREFERENCE FOR SANTA MONICA BUSINESSES THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES RESOLVE AS FOLLOWS SECTION 1 Section 2 24 090 ofthe Santa Monica MUnicipal Code IS amended to read as the follows 2.24.090 Informal purchasing procedures. (a) Convenience Purchase Orders. (1) IndiVidual purchases related to the City's maintenance reqUIrements, amounting to less than $1,000 00 aggregate amount per purchase order are exempted from competitIve bid reqUirements. (2) In the event that the savings potential clearly does not justify this exemption, open market request-for-quotatlon procedures shall be followed 1 (b) Open Market Orders (1) Except as provided In Sections 2 24 071, 224073, 224080 or 2.24090, public works proJects, all purchases of supplies, materials equipment or contractual services, and all sales of personal property of the City which has been obsolete or unusable, or for any other reason IS to be disposed of, which are not more than $25,00000 In amount, shall be made In the open market, Without the requirement of formal newspaper advertiSing (2) All open market purchases, wherever possible, shall be based upon not less than three competitive bids and shall be awarded to the person offering the lowest and best bid (3) The PurchaSing Agent shall soliCit bIds by direct mall request to prospective vendors, or by telephone, and by publiC notice on the bulletin board In the PurchaSing Department The PurchaSing Agent shall keep a record of all open market orders and the bids submitted In competition thereon, and such records shall also be open to public Inspection (c) (1) Notwithstanding anyotherprovlslonsofthls Section, prlorto awarding a contract the PurchaSing Agent shall proVide a 1 % price preference to all City bUSinesses submitting 2 Open Market order bids upon which Will be levied a State of California sales tax The Purchasing Agent shall administer the bidding preference so that bid amounts received from City businesses are reduced by 1 % solely to determine the rank order of the bIds In the selection process If, after the 1 % preference IS applied, a City business has submitted a bid which IS equal to or is lower than all other bids, the Purchasing Agent shall award the contract to the City business so long as It IS otherwIse the most responsible and best bidder (2) For purposes of thiS proVIsion a City business shall be a business licensed by the City of Santa MOnica to conduct business In the City and which shall have a place of business Within the City other than a post office mailing box SECTION 2 Section 2 24 100 of the Santa MOnica MUnicipal Code IS amended to read as follows 2.24.100 Formal bidding procedures. (a) Except as otherwise proVided, all purchases of supplies, material, equIpment or contractual servIces, other than profeSSional services, which shall be govemed by Section 2 24 073, and all sales of personal property of the City which has become obsolete or unusable, or IS to be disposed of for 3 any other reason, of more than $25,000 00, shall be made to the lowest and best bidder after publication In a newspaper of general circulation In the City of Santa Monica, by two or more Insertions. of notIces Inviting bids therefor, the first of which shall be at least ten 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-advertlse m Its discretion (b) 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 affirmative votes, It may proceed to have such supplies, materials, equipment or contractual services purchased m the manner stated, Without further observance of the proVIsions of thiS section (c) Purchases of supplies, materials, equipment or contractual services may be made Without advertiSing for bids If the purchase of such supplies, materials, eqUipment or 4 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 authorized by at least five affirmative votes, or It shall be determmed by such vote of the City Council that to advertise for bids would be to no avail and would cause unnecessary expense and delay (d) (1) Notwithstanding anyotherprovlslonsofthls Section, prior to awarding a contract the Purchasing Agent shall award a 1 % price preference when determining the lowest and best bid to all City businesses submitting formal bids upon which will be levied a State of California sales tax The Purchasing Agent shall administer the bidding preference so that bid amounts received from City businesses are reduced by 1 % solely to determine the rank order of the bids m the selection process If, after the 1 % preference IS applied, a City business has submitted a bid which IS equal to or IS lower than all other bids, the Purchasmg Agent shall award the contract to the City business so long as It IS otherwise the most responsible and best bidder (2) For purposes of this proVIsIon a City business shall be a business licensed by the City of Santa Monica to conduct bUSiness In the City and which shall have a 5 place of business within the City other than a post office mailing box SECTION 3 Any provIsIon of the Santa Monica MUnicipal Code or appendices thereto Inconsistent with the provIsions of this Ordinance, to the extent of such inCOnsistencies and no further, are hereby repealed or modified to that extent necessary to effectuate the provIsions of this Ordinance SECTION 4 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 of any competent JUriSdiction. such deCISion shall not affect the validity of the remaining portions of this ordmance The City Council hereby declares that It would have passed this ordinance, and each and every section, subsection, clause, or phrase, not declared Invalid or unconstItutional wIthout regard to whether any portIon of the Ordinance would be subsequently declared Invalid or unconstitutional 6 SECTION 5 The Mayor shall sign and the City Clerk shall certify to the passage of this Ordinance The City Clerk shall cause the same to be published once in the official newspaper wlthm 15 days after Its adoption ThiS Ordinance shall become effective 30 days from ItS adoption A~PROVED A~TO FORM . ft1fJ) A .L'\JJAAA.~!lLML MAIRSHA JO~S MOUTRI'E CltY'Attorn ey 7 Adopted and approved thIS 14m day of September, 1999 ( TMt1~1^- ~~ O'Connor. Mayor \ State of Cahforma ) County of Los Angeles ) ss CIty of Santa MOnIca ) I, Mana M Stewart, CIty Clerk of the CIty of Santa MOnIca, do hereby certIfy that the foregomg Ordmance No 1951 (CCS) had Its fIrst readmg on August 10, 1999, and was adopted on September 14, 1999, by the followmg vote Ayes CouncIl members Holbrook. Bloom, McKeown, Femstein. Mayor Pro Tern Genser. Mayor O'Connor Noes CouncIl members Rosenstem Abstam CouncIl members None Absent CouncIl members None ~~- ~ Mana M Stewart. CIt~