A. When Required. The purchasing officer shall have the authority to require bid, performance and payment security, or specific types and amounts of insurance coverage for specific procurements, to the extent required by state law or upon a determination that it is in the best interest of the city to do so.
B. Bid Security.
1. Bid security, if required, shall be submitted with the bid and shall be a certified check, cashier's check, or surety bond from a company authorized to conduct business in the state and acceptable to the city.
2. If a bidder fails to submit the required bid security with the bid, the bid shall be deemed nonresponsive.
3. After bids are opened, bid security is irrevocable for the period specified in the invitation for bids.
4. If the successful bidder fails to execute the contract within the time specified, the total amount of the bid security shall be forfeited to the city.
5. The security of an unsuccessful bidder shall be returned to the bidder no later than sixty calendar days from the date of contract award.
C. Performance Security. Performance security, if required, shall be in the form of a bond acceptable to the city, on a form approved by the city attorney.
D. Insurance.
1. The successful bidder shall submit certificates of insurance and endorsement forms, as applicable, as evidence that it has the type and amount of insurance coverage required by the bid or proposal documents.
2. Such evidence shall be submitted to the city clerk's office promptly upon request, and shall be issued by an insurer authorized to conduct business in the state and acceptable to the city.
E. Indemnity for Infringement of Patents, Copyrights or Trademarks. Each contractor must defend, hold harmless and fully indemnify the city and its managers, employees and agents from all damages or claims for damages, costs or expenses in law or equity that may arise for any infringement of the patent right, copyright or trademark of any person, as a consequence of the use by the city, or any of its officers, employees or agents, of goods supplied under a contract.
(Ord. 1397.03.08 § 2 (part), 2007)