A. Definition: "Contractual services", for the purposes of this chapter, shall mean services performed for the City by persons not in the employ of the City and may include the use of equipment or the furnishing of commodities in connection with such services under express or implied contract. "Contractual services" shall include: travel, freight, express, parcel post, postage, telephone, telegraph, utilities, rents, printing and binding; repairs, alterations and maintenance of buildings, equipment, streets, bridges and other physical facilities of the City.
B. Council Authority: The City Council shall contract for and purchase, or issue purchase authorization for, all supplies, materials and equipment for the operation of the City government. Before the purchase of, or contract for, any supplies, materials or equipment, or the sale of any surplus or obsolete supplies, materials or equipment, ample opportunity for competitive bidding, under such regulations and with such exceptions as the City Council may prescribe, shall be given.
C. Sale Of Surplus Supplies And Equipment; Advertising; Bids:
1. Subject to the provisions of this section, surplus or obsolete supplies, materials or equipment belonging to the City may be sold by the City Council.
2. No sale shall be made under this section until the City Council has declared the supplies, materials or equipment involved to be surplus or obsolete.
3. Except as may otherwise be provided, the City Council shall advertise any sale under this section in a newspaper of general circulation in the City or County, or in such other manner as deemed necessary to adequately reach prospective buyers to give them an opportunity to make bids. All bids shall be sealed and opened in public at a designated time and place, except when the sale is by auction. The City Council may repeatedly reject all bids and advertise again. The City Council shall sell such supplies, materials and equipment to the highest responsible bidder and, if necessary, shall cast lots in case of a tie to determine to whom to sell.
4. Bidding shall not be required when the value of the surplus or obsolete supplies, material, equipment or assets being sold does not exceed $10,000.00 in a single transaction; or when a majority of the city council has determined that bidding is not in the best interest of the city and a majority of the city council has voted to waive competitive bidding.
D. Open Market Procedure:
1. All purchases of supplies, materials, equipment, labor or contractual services for less than a cost of $100,000.00 shall be made by the mayor or his designated purchasing agent on the open market, without newspaper advertisement and without observing the procedures for formal bidding prescribed in section 2-1-2 below.
2. All open market purchases shall wherever possible be based on at least three informal competitive bids or quotes and shall be awarded to the lowest and best bidder in accordance with the procedures set forth in this section.
3. Informal bids or quotes for open market purchases shall be solicited by any one of the following methods:
a. Direct mail request to prospective vendors.
b. Telephone.
c. Public notice.
d. Email.
e. Via facsimile.
f. Electronic posting by internet service provider.
g. Other means prescribed by the mayor or his designated purchasing agent.
4. The mayor or his designated purchasing agent shall keep a record of all open market bids or quotes submitted under this section, which shall be open to public inspection in accordance with state law and shall be maintained by the city pursuant to its records retention policy.
5. The mayor or his designated purchasing agent shall present to the city council his recommendation for the award of the purchases under the open market procedure for their approval.
6. The purchase of supplies, materials, equipment, labor or contractual services may be purchased without following the open market procedure set forth in this section for the following purchases.
a. Small Purchases: Purchases of supplies, materials, equipment, labor or contractual services whose costs do not exceed the amounts set forth in Section 2-6-1 and which amounts cannot exceed the specific authority of the individual designated purchasing officers.
b. Sole Source: Purchases of supplies, materials, equipment, labor or contractual services which can be furnished only by a single vendor, or which have a uniform price wherever bought;
c. Government Agencies: Purchases of supplies, materials, equipment, labor or contractual services purchased from another unit of government, at a price not exceeding the price set forth by the state purchasing agency or any other state agency hereinafter authorized to regulate prices for things purchased by the state, whenever such price is determined by a contract negotiated with the vendor or otherwise;
d. Unique Items: Purchases of supplies, materials, equipment, labor or contractual services that by their own nature are unique and as such are impossible or impractical to purchase by open market bidding. These items may include professional services such as attorneys, auditors, physicians, financial or personnel consultants, engineers, architects, special purpose items such as insurance, or used equipment;
e. Miscellaneous: All purchase of supplies, materials, equipment, labor or contractual services that are impossible or impractical to purchase by competitive bidding because of the vendor availability or qualifications, economic situation, including, but not limited to, items with unstable prices such as fuel or asphalt, and items that become available for immediate purchase;
f. Emergency Purchases: All purchase of supplies, materials, equipment, labor or contractual services purchased when an emergency exists where delivery is critical to life, health, or destruction of property causing economic loss to the city or its inhabitants.
g. All purchases or contracts made under 2-1-1, with the exception of small purchases made pursuant to D6a, shall require approval of the city council prior to the purchase being made.
7. The mayor or his designated purchasing agent shall have the authority to join with other units of government in cooperative purchasing plans whenever advantageous for the city, provided that such purchases shall be made pursuant to the procedures which substantially comply with the open market procedures set out within this section and all such purchases shall be approved by the city council prior to any purchase in excess of $50,000.00.
8. All purchase of supplies, materials, equipment, labor or contractual services by the city by joining with other municipalities and/or governmental entities for the purposes of joint bidding so long as said bidding is in compliance with all open market procedures and all such purchases shall be approved by the city council prior to any purchase in excess of $50,000.00.
(1991 Code § 1-70; amd. Ord. 21-48, 10-5-2021; Ord. 21-53, 11-9-2021; Ord. 22-02, 2-8-2022; Ord. 22-17, 7-18-2022; Ord. 23-14, 4-11-2023)