(a) Procedures.
(1) The City Manager shall act as Purchasing Agent for the City, making all purchases required by the various departments and selling unused, worn out, surplus or obsolete equipment and materials. The City Manager may delegate any portion of the Purchasing Agent’s duties to the head of a department or division.
(2) Whenever the head of a department or division deems it necessary or desirable that supplies, materials, equipment or contractual services be purchased or secured, such department head or division head shall prepare a purchase order, as set forth in division (c) of this section.
(3) If the probable cost thereof will be fifty thousand dollars ($50,000) or more, the Purchasing Agent shall resort to formal bidding, as hereinafter provided. If the probable cost will be less than fifty thousand dollars ($50,000), the Purchasing Agent may award the purchase to the supplier offering the lowest and best bid among the informal bidders or award a contract without competitive selection. Exceptions to the outlined procedures include obligations for professional services and utilities, including, but not limited to phone, electric and gas. (See Section 236.02.)
(b) Formal Bidding.
(1) Whenever formal bidding is necessary by reason of the probable amount involved, the Purchasing Agent shall prepare or cause to be prepared specifications for the article or services required and shall advertise the requirements of the City at least once in a newspaper of general circulation in the City, inviting vendors to tender bids, in writing, for the furnishing of such requirements, such bids to be publicly opened not less than ten days following the date of the first advertisement, at a time and place specified in the published notice. The bids shall be opened and tabulated publicly by the Purchasing Agent or his or her designee. An investigation of the responsibility of the bidders shall be made if the Purchasing Agent deems it necessary.
(2) The Manager shall report to Council the bids and the results of any investigation of the responsibility of the bidders and shall recommend to Council the selection of the lowest and best bid, or, if the Manager determines that the interest of the City would be better served, the rejection of all bids.
(3) No contract for the purchase of goods or services at a cost of fifty thousand dollars ($50,000) or more shall be made unless Council has, by ordinance or resolution, authorized and directed the City Manger to do so.
(c) Purchase Orders.
(1) After following the proper bidding process, the head of the department or division head will prepare a purchase order addressed to the successful bidder, directing the vendor to supply the goods or services required in accordance with the terms agreed upon. If the value of the goods or services exceeds five hundred dollars ($500.00), the City Manager must authorize the purchase. Otherwise, the head of the department or division has authority to make the purchase. All purchase orders shall be submitted to the Director of Finance and/or the City Manager for certification. (See Section 236.02.)
(2) Blanket purchase orders may be issued for an estimated year’s supply of standardized material or services or to a supplier of various items where buying convenience or a quantity discount is a factor.
(d) Petty Cash. If the item to be purchased is less than one hundred dollars ($100.00), the purchase is considered to be petty cash. The head of the department or division shall approve all petty cash purchases using the proper form provided by the Finance Department.
(e) Inspection. The Purchasing Agent shall inspect or supervise the inspection of all deliveries of supplies, materials, equipment or contractual services to determine their conformity with the specifications set forth in or referred to in the order or contract.
(f) Execution of Contracts. Unless otherwise specifically stated by a resolution or ordinance of Council, all contracts made by and on behalf of the City shall be signed by the City Manager or by the person appointed to act in the absence of the City Manager.
(g) State Law Superseded.
(1) The bidding requirements and procedures set forth in this section are enacted pursuant to the City’s home rule powers of local self-government and are intended to completely supersede any and all bidding requirements and procedures set forth for the purchase of supplies, materials, equipment or contractual services by municipal corporations under the Ohio Revised Code. Any such bidding requirements and procedures set forth under the Ohio Revised Code are, therefore, hereby declared to be inoperable.
(2) Any contract awarded pursuant to this section shall be in accordance with the City Charter and the ordinances of the City, therefore exempting the City from, but not limited to, the provisions of Ohio R.C. Chapter 153 and Ohio R.C. 735.074, et al.
(h) Limited Liability. Under no circumstances shall the payments to the contractor or the City’s liability exceed the amount set forth in the proposal or contract without a properly executed change order.
(i) Emergency Purchases. When, in the judgment of the Purchasing Agent, an immediate order or purchase in excess of fifty thousand dollars ($50,000) is required to preserve the public health, welfare or safety, the Manager shall be authorized to commit such expenditure on behalf of the City. The Manager shall retroactively solicit Council’s legislative approval.
(j) Change Orders. The City Manager is hereby authorized to execute a change order or other necessary modification to a contract approved by Council in order to properly and expeditiously administer construction projects or other purchases, provided that such modification does not exceed 10% of the original contract amount. If a change order or purchase exceeds 10% of the original contract amount, the City Manager shall obtain Council’s re-approval and provide an explanation as to the necessity for the increase.
(k) Purchase of Fuels, Utilities and Road De-Icing Salts. The Purchasing Agent is hereby authorized to purchase motor fuel, utilities and road de-icing salts contrary to the provisions of divisions (a) and (b) of this section, which require formal bidding and Council approval of all purchases over fifty thousand dollars ($50,000), provided that at least three written or verbal quotes are obtained from suppliers or that a bid price is formally established by another qualified political jurisdiction, such as Montgomery County, the State of Ohio or other municipality. Utilities are hereby recognized as sole-source suppliers.
(l) Cooperative Purchasing. The Purchasing Agent is hereby authorized to purchase goods and services in cooperation with the State of Ohio and other political subdivisions utilizing their bidding procedures. The Purchasing Agent is further authorized to utilize U.S. General Services Administration (GSA) pricing when making such purchases.
(m) Contract Renewals. The Purchasing Agent may approve or submit to Council for approval, if in excess of fifty thousand dollars ($50,000), a contract previously bid but renewed for another term, if the contractor agrees to hold his or her price.
(n) Waiver. Based upon particular circumstances as determined by Council, formal bidding procedures may be waived in the event of a sole-source supplier, a unique or custom piece of equipment, service or technology, a specialty item or other unusual reason.
(o) Northmont City Schools Donations. The Purchasing Agent, at his or her discretion, shall be permitted to donate obsolete or surplus items, including computer equipment and peripherals, to Northmont City Schools or the Miami Valley CTC, for continued public use.
(p) The Purchasing Agent, at his or her discretion, shall be permitted to establish a program to purchase goods and services for the City using a purchasing card. The limits and controls established in division (c) of this section, Purchase Orders, shall apply.
(Ord. 96-20. Passed 6-11-96; Ord. 02-15. Passed 11-12-02; Ord. 03-17. Passed 9-9-03; Ord. 08-2. Passed 2-12-08; Ord. 12-9. Passed 10-23-12.)