Ordinance 48ORDINANCE N0. ~+8
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CUPERTINO, PROVIDING
FOR THE PURCHASE OF SUPPLIES AND EQUIPMENT.
THE CITY COUNCIL OF THE CITY OF CUPERTINO DOES ORDAIN AS
FOLLOWS:
SECTION 1. ADOPTION OF PURCHASING SYSTEM. In order to
establish efficient procedures for the purchase
of supplies and equipment, to secure for the City supplies 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 and to
assure the quality of purchases, a purchasing system is hereby
adopted.
SECTION 2. PURCHASING OFFICER. The City Clerk Administrator
is hereby appointed Purchasing Officer for the
City and shall have authority to:
(a) Purchase or contract for supplies and equipment required
by any using agency in accordance with purchasing
procedures prescribed by this Ordinance, such administrative
regulations as the Purchasing Officer shall adopt and
such other rules and regulations as shall be prescribed
by the City Council.
(b) Negotiate and recommend execution of contracts for
purchase of supplies and equipment.
(c) Act to procure for the City the needed quality in supplies
and equipment at least expense to the City.
(d) Discourage uniform bidding and endeavor to obtain as full
and open competition as possible on all purchases.
(e) Prepare and recommend to the City Council rules governing
the purchase of supplies and equipment for the City.
(f) Prepare and recommend to the City Council revisions and
amendments to the purchasing rules.
(g) Keep informed of current developments in the field of
purchasing prices, market conditions and new products.
(h) Prescribe and maintain such forms as are reasonably
necessary to the operation of this Ordinance and other
rules and regulations.
(i) Supervise the inspection of all supplies and equipment
purchased to insure conformance with specifications.
(,j) Recommend the transfer of surplus or unused supplies and
equipment between departments as needed and the sale of
all supplies and equipment which cannot be used by any
agency or which have become unsuitable for City use.
(k) Maintain a Bidders List, Vendors Catalog fi le and records
needed for the efficient operation of the Purchasing
Department.
SECTION 3. EXEMPTIONS FROM CENTRALIZED PURCHASING. The
Purchasing Officer with approval of the City Council
may authorize, in writing, any agency to purchase or contract for
specified supplies and equipment independently of the Purchasing
Department; but he shall require that such purchases or contracts
shall be made in conformity with the procedures established by this
Ordinance, and shall further require periodic reports from the
agency on the purchases and contracts made under such written
authorization.
SECTION ~. REQUISITIONS. Using agencies shall submit requests
for supplies and equipment to the Purchasing
Officer by standard requisition forms.
SECTION 5. BIDDING. Purchases of supplies and equipment shall
by by bid procedures pursuant to Sections 8 and 9.
Bidding shall be dispensed with only when an emergency requires that
an order be placed with the nearest available source of supply when
the amount involved is less than 100.00, or when the commodity can
be obtained from only one vendor.
SECTION 6. PURCHASE ORDERS. Purchases of supplies and
equipment shall be made only by purchase order.
SECTION 7. ENCUMBRANCE OF FUNDS. Except in cases of emergency,
the Purchasing Officer shall not issue any
purchase order for supplies or equipment unless there exists an
unencumbered appropriation in the fund account against which said
purchase is to be charged.
SECTION 8. FORMAL CONTRACT PROCEDURE. Except as otherwise
provided herein, purchases and contracts for
supplies and equipment of estimated value greater than 2,000.00
shall be by written contract with the lowest responsible bidder
pursuant to the procedure prescribed herein.
(a) Notice Inviting Bids. Notic es inviting bids shall
include a general description of the articles to be
purchased, shall state where bid blanks and specifications
rria be secured, and the time and place for opening bids.
(l~ Published Notice. Notice invoting bids shall be
published at least ten (10) days before the date of
opening of the bids. Notice shall be published at
least once in a sewspaper of general circulation,
printed and published in the City or if there is
none, it shall be posted in at least three (3)
public places in the City that have been designated
by Ordinance as the places for posting public notices.
(2) Bidders' List. The Purchasing Officer shall also
solicit sealed bids from all responsible prospective
suppliers whose names are on the Bidder's List or
who have requested their names to be added thereto.
(3) Bulletin Board. The Purchasing Officer shall also
advertise pending purchases by a notice posted on a
public bulletin board in the City Offices.
(b) Bidder's Security. When deemed necessary by the Purchasing
Officer, bidder's security may be prescribed in the public
notices inviting bids. Bidders shall be entitled to return
of bid security; provided that a successful bidder shall
forfeit his bid security upon refusal or failure to
execute the contract within ten (10) days after the notice
of award of contract has been mailed, unless the City is
responsible for the delay. The City Council may, on
refusal or failure of the successful bidder to execute
the contract, award it to the next lowest responsible
bidder. If the City Council awards the contract to the
next lowest bidder, the amount of the lowest bidder's
security shall be applied by the City to the difference
between the low bid and the second lowest bid, and the
surplus, if any, shall be returned to the lowest bidder.
(c) Bid Openin Procedure. Sealed bids shall be submitted to
the Purchas ng icer and shall be identified as bids on
the envelope. Bids shall be opened in public at the time
and place stated in the public notices. A tabulation of
all bids received 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.
(d) Refection of Bids. In its discretion, the City Council
may reject any and all bids presented and re-advertise
for bids.
(e) Award of Contracts. Contracts shall be awarded by the
City Council to the lowest responsible bidder except as
otherwise provided herein.
(f) Tie Bids. If two or more bids received are for the same
total amount or unit price, quality and service being
equal and if the public interest will not permit the
delay of re-advertising for bids, the City Council may
accept the one it chooses or accept the lowest bid made
by negotiation with the tie bidders at the time of the
bid opening.
(g) Performance Bonds. The City Council shall have authority
to require a performance bond before entering a contract
on such amount as it sr.all find reasonable necessary to
protect the best interests of the City. If the City
Council requires a performance bond, the form and amount
of the bond shall be described in the notice inviting
bids.
SECTION g. OPEN MARKET PROCF;DURE. Purchases of supplies and
equipment of an estimated value in the amount of
$2000.00 or less may be made by the Purchasing Officer in the
open market without observing the procedure prescribed by Section
8. (a) Minimum Number of Bids. Open market purchases shall
wherever possible be based on at least three (3) bids,
and shall be awarded tc the lowest responsible bidder.
(b) Notice Inviting Bids. The Purchasing Officer shall
solicit bids by writter.~ requests to prospective vendors,
by telephone, and by pL~blic notice posted on a public
bulletin board in the City Offices.
(c) Written Bids. Sealed v~~ritten bids shall be submitted
to the Purchasing Officer who shall keep a record of
all open market orders and bids for a period of one (1)
year after the submiss~.on of bids or the placing of orders.
This record, whale so kept, shall be open to public
inspection.
SECTION 10. INSPECTION AND TESTING. The Purchasing Officer
shall inspect cupplies and equipment delivered
to determine their conformance with the specifications set forth
in the order or contract. The Purchasing Officer shall have
authority to require chemical anc. physical tests of samples
submitted with bids and samples of deliveries which are necessary
to determine their quality and conformance with specifications.
SECTION 11. SEVERABILITY. I:f any section, subsection,
sentence, clause or phrase of this ordinance
is for any reason held to be unconstitutional or otherwise invalid,
such decision shall not affect tY~e validity of the remaining
sections of this Ordinance. The City Council hereby declares
that it would have passed this Oz~dinance, and each section,
subsection, subdivision, sentence, clause and phrase thereof,
irrespective of the fact that any one or more sections, sub-
sections, subdivisions, sentence~~, clauses or phrases be declared
unconstitutional.
PASSED AND ADOPTED by the C3.ty Council of the City of Cupertino
on the 5th day of May, 1958, by t:he following vote:
AYES: Councilmen: Lazaneo,
Saich.
NOES: Councilmen: None
ABSENT: Councilmen: None
Atte
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U""x-r ~'--`
ivIeyerholz, Nathanson, Pelosi,
Approved:
Ls/ N. J. NATHANSON
Mayor, City of Cupertino
City'Clerk
I, LAWRENCE K. MARTIN, City Cle m: of the City of Cupertino and ex
officio clerk of the legislative body of said City do hereby certify
that the foregoing is a true and correct copy of Ordinance No. ~-8
on file in my office and that thE~ same has been published pursuant
to law.
IN W-'NESS WI-L.FR OF I have hereunt;o ~et my hand and City Seal this
9.~ day of Gam-. lea /
~ ..(~-~~
City Clerk