Chapter 3.60
PURCHASING SYSTEM
Sections:
3.60.010 Adoption of purchasing system.
3.60.020 Purchasing agent designated.
3.60.030 Limitations of purchasing agent.
3.60.060 Availability of sufficient funds.
3.60.080 Splitting purchase and projects prohibited.
3.60.090 Inspection and review.
3.60.100 Surplus supplies and equipment.
3.60.010 Adoption of purchasing system.
A purchasing system is adopted in order to:
A. Establish efficient procedures for the purchase of supplies, services and equipment;
B. Secure supplies, services and equipment at cost commensurate with the level of quality required;
C. Exercise financial control over purchases; and
D. Clearly define authority for the purchasing function. [Ord. 11-2023 § 3 (Exh. A); Ord. 9-2012 § 1].
3.60.020 Purchasing agent designated.
The city manager is designated as the city’s purchasing agent and shall be responsible for the purchase of all supplies, services and equipment for all departments and divisions of the city. The city manager may delegate all or a portion of the purchasing duties to any city staff member. In accordance with the limitations imposed by RCMC 3.60.030, the purchasing agent shall have the authority to:
A. Purchase or contract for supplies, services and equipment required by the city in accordance with purchasing procedures outlined in this chapter;
B. Negotiate and recommend execution of contracts for the purchase of supplies, services and equipment;
C. Act to procure for the city the necessary quality in supplies, services, and equipment at the lowest cost to the city;
D. Prepare and recommend to the city council revisions and amendments to the purchasing rules;
E. Establish and maintain such forms as reasonably necessary to the operation of purchasing guidelines;
F. Supervise the inspection of all supplies, services, and equipment purchased to ensure conformance with specifications;
G. Recommend the sale or disposal of all supplies and equipment which cannot be used by the city, or which have become unsuitable for city use;
H. Maintain records necessary for the efficient acquisition of supplies, equipment and services; and
I. Award contracts for public projects and approve change orders to contracts for public projects in accordance with the provisions of this chapter. [Ord. 11-2023 § 3 (Exh. A); Ord. 9-2012 § 1].
3.60.030 Limitations of purchasing agent.
A. Unless otherwise directed by the city council, the city manager shall have authority to purchase supplies, services and equipment, and approve and execute payment of all warrants in the amount of $100,000 or less, on an annual basis, drawn upon the city treasury without presentation to the city council, except as provided for in RCMC 3.60.110 and 3.60.120. The purchase of supplies, services, public contracts, equipment, and payment of warrants in excess of $100,000, on an annual basis, which have not been authorized pursuant to a specific contract or other instrument previously approved by the city council, shall be presented to the city council for approval.
B. The city manager shall have the authority to extend or renew contracts, previously approved by the city council, for the purchase of supplies, services, and equipment, so long as no other amendments to the terms of the applicable contract are made without city council approval. [Ord. 11-2023 § 3 (Exh. A); Ord. 1-2014 § 2; Ord. 9-2012 § 1].
3.60.040 Purchase procedures.
A. Except as otherwise provided in RCMC 3.60.110 and 3.60.120, the purchasing agent or designee shall secure favorable pricing for the procurement of supplies, equipment, and nonprofessional services. This shall include obtaining at least three bids based upon identical specifications from different vendors prior to purchasing supplies, equipment and nonprofessional services costing over $20,000. Bids may be received by informal price checking, in writing, in person, or via the telephone and shall be documented and maintained in a file with the final awarded contract. The competitive bidding procedures as described in Section 20161 et seq. of the Public Contract Code may be utilized when not otherwise required, at the discretion of the purchasing agent or designee. Award shall be made to the vendor offering the lowest acceptable bid. This requirement shall not apply to the purchase of supplies and equipment for which less than three vendors exist.
B. The purchase of professional services, such as architectural, landscape architectural, engineering, environmental, land surveying, legal, financial consultants or construction project management contractors shall be made on the basis of demonstrated competence and on the professional qualifications necessary for the satisfactory performance of the services required.
C. Without complying with the bidding requirements contained in this section, the purchasing agent may participate in, sponsor, conduct or administer a cooperative purchasing agreement for the procurement of any supplies, equipment, and services with one or more public entities in accordance with an agreement entered into between the participants. Such cooperative purchasing may include, but is not limited to, joint or multiparty contracts between public entities and open-ended state public procurement unit contracts which are made available to the city. [Ord. 11-2023 § 3 (Exh. A); Ord. 9-2012 § 1].
3.60.050 Purchase orders.
All purchases requiring a contract shall be documented by a purchase order prepared by the purchasing agent or designee. [Ord. 11-2023 § 3 (Exh. A); Ord. 9-2012 § 1].
3.60.060 Availability of sufficient funds.
No purchase order shall be issued until it has been ascertained that there is to the credit of the department of the city for whose benefit such purchase is to be made a sufficient unappropriated balance in excess of all unpaid obligations to defray the amount of the purchase order. [Ord. 11-2023 § 3 (Exh. A); Ord. 9-2012 § 1].
3.60.070 Multiyear contracts.
A contract for equipment, supplies or services may be entered into for any period of time deemed to be in the best interest of the city; provided, that the term of the contract and renewal provisions are included in the contract. Adequate funds must be available to fulfill the first fiscal year’s obligation at the time of contract execution. Appropriations for subsequent years are subject to authorization by the city council. The purchasing agent shall have the authority to enter into multiyear contracts pursuant to this section in amounts not to exceed $100,000 on an annual basis. [Ord. 11-2023 § 3 (Exh. A); Ord. 9-2012 § 1].
3.60.080 Splitting purchase and projects prohibited.
It shall be unlawful to split or separate into smaller purchases or projects any purchase or project for the purpose of evading the provisions of this chapter or the provisions of the Public Contract Code requiring competitive bidding. [Ord. 11-2023 § 3 (Exh. A); Ord. 9-2012 § 1].
3.60.090 Inspection and review.
The purchasing agent or designee shall require the inspection of supplies and equipment delivered, and contractual services performed, to determine their conformance with the specifications and requirements set forth in the order or contract as applicable. [Ord. 11-2023 § 3 (Exh. A); Ord. 9-2012 § 1].
3.60.100 Surplus supplies and equipment.
At such times as determined by the purchasing agent, reports shall be prepared showing all supplies and equipment which are no longer used or which have become obsolete or worn out. The purchasing agent shall have the authority to sell, trade or exchange all said supplies and equipment. Any such sales shall be in accordance with RCMC 3.60.040(A). [Ord. 11-2023 § 3 (Exh. A); Ord. 9-2012 § 1].
3.60.110 Public projects.
A. The provisions contained in Section 20161 et seq. of the Public Contract Code establish contract procedures that the city is required to follow for public projects, where the expenditure required for the public project exceeds the limit set by Section 20162 of the Public Contract Code. The term “public project” is defined by Section 20161 of the Public Contract Code as the following: (1) a project for the erection, improvement, painting, or repair of public buildings and works; (2) work in or about streams, bays, waterfronts, embankments, or other work for protection against overflow; (3) street or sewer work except maintenance or repair; and (4) furnishing supplies or materials for any such project, including maintenance or repair of streets or sewers. The definition of public project contained in Section 20161 of the Public Contract Code provided above may be amended from time to time by the state Legislature and such amendments shall be incorporated herein.
1. Subsection (A) of this section shall not apply in instances where the city elects to follow the alternative procedures established in Chapter 3.70 RCMC under the Uniform Public Construction Cost Accounting Act.
B. The city manager shall have the authority to award contracts for public projects in the amount specified in RCMC 3.60.030(A) or less. Contracts for public projects in excess of the current amount specified in RCMC 3.60.030(A) shall be awarded by the city council.
C. The city manager shall have authority to approve change orders for public project contracts up to a cumulative and final contract amount as specified in RCMC 3.60.030(A). For contracts over the current maximum amount as specified in RCMC 3.60.030(A), the city manager shall have authority to approve change orders up to a cumulative total of 10 percent of the latest city council approved contract amount. Change orders which exceed these amounts shall be presented to the city council for approval. [Ord. 11-2023 § 3 (Exh. A); Ord. 24-2016 § 2; Ord. 9-2012 § 1].
3.60.120 Exemptions.
A. Emergencies. The bidding requirements for supplies, services and equipment contained in this chapter may be dispensed with when an emergency exists involving a sudden, unexpected occurrence or discovery of a condition or circumstance that poses a clear and imminent danger requiring immediate action to prevent or mitigate the loss or impairment of life, health, property, or essential public services. In such an emergency the purchasing agent may procure supplies, services and equipment in an amount greater than the current amount specified in RCMC 3.60.030(A); provided, that any such procurement be reported to the city council at the next city council meeting. The procurement of supplies, services and equipment pursuant to this chapter shall not extend beyond the period of the emergency. Notwithstanding the foregoing, Section 22050 of the Public Contract Code shall apply to expenditures made for public projects in an emergency.
B. Grants. Notwithstanding the foregoing, any contract which is paid with grant monies shall strictly adhere to those purchasing provisions set forth in the applicable grant agreement and pursuant to any applicable state or federal law or regulation. [Ord. 11-2023 § 3 (Exh. A); Ord. 9-2012 § 1].