(A) Applicability. This section applies to controversies between the town and a contractor and which arises under, or by virtue of, a contract between them. This includes without limitations, controversies based upon contract, mistake, misrepresentation or other causes for contract modifications or rescission.
(B) Authority to resolve controversies.
(1) The Mayor is authorized to settle and resolve controversies as described under division (A) above whereas the contract amount or the amount in controversy shall not exceed 5% of the total project cost of an aggregate of $10,000, whichever is greater.
(2) The Mayor shall refer to the Bids and Purchases Committee to settle and resolve all controversies as described under division (A) above whereby the amount in controversy exceeding 5% of the total project cost or exceeding $10,000.
(C) Decision. Either the Mayor or the Purchases and Bids Committee, as applicable, shall schedule and meet with the contractor to receive and review comments which thereafter shall issue a decision to be placed in writing within 15 days of the meeting. The decision shall state the reasons for the action taken and inform the contractor of other rights which may include the right to appeal.
(D) Notice of decision. A copy of the decision under division (C) above shall be sent by certified mail, otherwise hand delivered, or transmitted by fax, immediately to the contractor.
(E) Appeal. A contractor having received the notice of decision may appeal in writing to the Mayor who shall then convene the full Town Council at a time and date established by the Mayor to receive and review the comments of the contractor.
(F) Appeal decision. The Mayor shall issue the decision of Town Council, in writing, within 15 days of the meeting of the full Town Council.
(G) Finality of appeal decision. A decision rendered under division (F) above shall be final and conclusive unless fraudulent. The appeal decision of the Mayor and Town Council is the final administrative review and the decision of the town, and such decision can be appealed to the State Circuit Court.
(Ord. 001-3, passed 3-1-2001)