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The Dallas City Code
CITY OF DALLAS, TEXAS CODE OF ORDINANCES
CHARTER of THE CITY OF DALLAS, TEXAS
VOLUME I
VOLUME II
VOLUME III
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SEC. 2.   CONTRACT LETTING.
   (a)   All city contracts calling for or requiring the expenditure or payment of an amount required by state law to be competitively bid creating or imposing an obligation or liability of any nature or character upon the city, must first be submitted for competitive bids in accordance with this chapter. Such bids shall be based upon plans and specifications prepared for that purpose. Such contract shall be let to the lowest responsible bidder.
   (b)   The city council shall by ordinance establish rules by which a contract may be let without city council approval; however, a contract that is required to be bid and which is let to other than the lowest bidder shall be first approved by the city council. The amount below which city council approval is not required for a contract may not be changed more often than once every 24 months.
   (c)   The city shall have the right to reject any and all bids. The city in the first instance may elect to perform the work involved by its own forces or by day labor, or if such contract is let for bids and all are rejected, the city may either readvertise for competitive bidding or may thereafter perform such work with its own forces or by day labor. (Amend. of 4-2-83, Prop. No. 1; Amend. of 11-5-24)
SEC. 3.   RESERVED.
   (Amend. of 4-2-83, Prop. No. 1; Repealed by Amend. of 11-5-24)
SEC. 4.   EMERGENCY SPENDING, ETC.
   The provisions regarding competitive bidding shall not apply in the following instances:
      (1)   In case of a public calamity where it becomes necessary to act at once to relieve the necessity of the residents or to preserve the property of the city.
      (2)   Where it is necessary to preserve or protect the public health of the residents of the city.
      (3)   In the case of unforeseen damage to public property, machinery, or equipment.
      (4)   Work done by employees of the city and paid for as such work progresses.
      (5)   The purchase of land, buildings, existing utility systems, or rights-of-way for authorized needs and purposes.
      (6)   Expenditures for or relating to improvements to the city’s water system, sewer system, streets or drainage (any one or all) where the cost of at least one-third of which is to be paid by special assessments levied against the properties to be benefitted thereby.
      (7)   Where the entire contractual obligation is to be paid from bond funds or current funds, or where an advertisement for bids has previously been published (in the manner authorized by law) but the current funds or bond funds are not adequate to permit the awarding of a contract, and the city council authorizes the issuance of certificates of obligation to provide the deficiency.
      (8)   The sale of any public security as such term is defined in Chapter 1204 of the Texas Government Code, as amended. (Amend. of 6-12-73, Prop. No. 38; Amend. of 11-8-05, Prop. No. 13; Amend. of 11-5-24)
SEC. 5.   PERSONAL SERVICES.
   Competitive bidding need not be applied to contracts for personal or professional services.
SEC. 6.   CHANGE ORDERS.
   In the event that it becomes necessary to make changes in the plans or specifications after performance of the contract has been commenced, or it becomes necessary to decrease or increase the quantity of work to be performed, or materials, equipment or supplies to be furnished, the city council is authorized to approve change orders effecting such changes, but the total contract price shall not be increased thereby unless due provision has been made to provide for the payment of such added cost by appropriating available funds for that purpose. This authority may be delegated to the city manager or the city manager’s designee when authorized by state law. (Amend. of 6-12-73, Prop. No. 39; Amend. of 8-12-89, Prop. No. 14)
SEC. 7.   PERFORMANCE AND PAYMENT BONDS.
   Any prime contractor entering into a public contract with the city for the construction, alteration, or repair of any public building or structure, or for the prosecution or completion of any public work, shall be required, before commencing such work, to execute a performance bond in a good and sufficient amount, as required by law, conditioned upon the faithful performance of the work in accordance with the plans, specifications, and contract documents. The bond must be solely for the protection of the city. The contractor shall also be required, before commencing such work, to execute a payment bond in a good and sufficient amount, as required by law, solely for the protection of all claimants supplying labor and material in the prosecution of the work provided for in the contract, for the use of each claimant. The bonds must be made by a bonding company authorized to do business in the State of Texas, and legal venue for enforcement of the bonds lies exclusively in Dallas County, Texas. A resident of Dallas County must be appointed as agent for delivery of notice and service of process by the surety. (Amend. of 6-12-73, Prop. No. 40; Amend. of 5-1-93, Prop. No. 4)
SEC. 8.   OTHER BONDS AND SECURITY.
   (a)   In addition to the two bonds mentioned in Section 7 of this chapter, the city may require that the contractor show proof of coverage by public liability and property damage insurance in an amount to be set by the city and by the applicable workmen’s compensation insurance as set forth in the Workmen’s Compensation Law of the State of Texas. The contractor may be required to post any other bond or proof of insurance that the plans and specifications may require.
   (b)   Where the contract by the city is for the purchase of materials, supplies, machinery, equipment, or other paraphernalia not involved in the construction of public works, or the contract is for the lease, rental, franchise, or other use of personal or real property of the city, the city may require such bonds and other forms of security as it deems advisable. (Amend. of 5-1-93, Prop. No. 4)
SEC. 9.   BID BOND.
   Each bid submitted pursuant to a request for bids must be accompanied by a cashier’s check, certified check, or unconditional letter of credit or a bid bond in the amount set by the city in the request for bids. The bid bond, if required, must be made by a bonding company authorized to do business in the State of Texas and must designate a resident agent in Dallas County. If the successful bidder fails or refuses to sign the contract for the performance of the work upon which the bid was made, the city council may require the forfeiture of the total amount of the bid bond as liquidated damages. (Amend. of 4-2-83, Prop. No. 1; Amend. of 5-1-93, Prop. No. 4)
SEC. 10.   RESIDENTS GIVEN PREFERENCE IN LETTING OF CONTRACTS.
   Qualifications, prices and quality of material being equal, residents and business firms of Dallas shall be given preference in the awarding of all contracts over which the city has jurisdiction, direct or indirect. This section shall not be construed so as to conflict with any provision of the Charter requiring competitive bidding. (Amend. of 11-5-24)
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