Chapter XII.
CONTRACTS

Section 12.1. Authority of Council. (a) The power to authorize the making of contracts on behalf of the city is vested in the council, subject to such exceptions as are provided by city ordinance.

(b)    All contracts, except as otherwise provided in section 12.2 hereof, shall be authorized by the council and shall be signed on behalf of the city by the mayor and the city clerk, after having been approved as to form by the city attorney. (5-3-16; Reso. 16-11)

Section 12.2. Procurement Procedures. The council shall establish by ordinance the procedure for the contracting for, or procurement of, supplies, materials, equipment, or contractual services. Such procedures shall include a provision for centralized purchasing on behalf of the city. The procedures shall also provide the dollar limit within which such contracting or procurement may be made without securing competitive bids, and the dollar limit within which contracting or procurements may be made without specific council approval. Such procedure shall also provide for the making of emergency purchases and contracts which shall not be subject to Section 12.3(c) of this chapter when an emergency exists. (5-3-16; Reso. 16-11)

Section 12.3. Limitations on Contractual Power. (a) The council shall have power to enter only into contracts which, by the terms thereof, will be fully executed within a period of five years. This limitation shall not apply to contracts concerning interests in real property. Any contract other than a franchise, which will not be fully executed within a period of five years shall first receive the approval of a majority of the qualified electors of the city who vote thereon. This restriction shall not apply to any contract for services with a public utility or with other governmental units, nor to contracts for debt secured by the bonds or notes of the city.

(b)    The council shall provide in the Code the procedure whereby the city may purchase, sell, lease or dispose of real property. No action of the council to sell, lease or dispose of any city interest in real property shall be final until the resolution to do so has been on file in the office of the city clerk for thirty days and notice of such filing published concurrently on the official bulletin board as designated by the council.

(c)    Except as authorized by section 12.2, each contract for the construction of public improvements or for the purchase or sale of personal property shall be let only after opportunity for competitive bidding and after appropriate notice thereof of not less than two weeks. All bids shall be opened in public at the time and place designated in the notice of letting. The council may reject any or all bids. If, after opportunity for competitive bidding, no bids are received or bids received are not satisfactory to the council, it may negotiate for a contract in the open market. The council may waive any and all irregularities.

(d)    The council may approve contracts for engineering, architectural, legal, medical and other professional services for the city without competitive bidding. Such contracts shall not exceed two years, except for completion of work in progress under architectural or engineering contracts.

Section 12.4. Business Dealings with City. The council shall provide in the Code the procedure whereby an officer or employee of the city, who intends to have business dealings with the city whereby he may derive income or benefits other than those provided as remuneration for his official duties or the duties of his employment, shall file with the city clerk a statement, under oath, setting forth the nature of such business dealings and his interest therein, not less than ten days before the date when action may be taken by the council or by any officer or agency of the city upon the matter involved. Such statement shall be sufficient for continuing transactions of a similar or like nature for one year from the date of its filing.