A. Purchases Not Requiring Sealed Bids:
1. Expenditures Of Less Than Seven Thousand Five Hundred Dollars: Expenditures of less than seven thousand five hundred dollars ($7,500.00) in total shall not require bids of any type. (Purchases shall not be artificially divided so as to constitute a small purchase under this section.)
2. Expenditures Of More Than Seven Thousand Five Hundred Dollars But Less Than Ten Thousand Dollars: Expenditures of more than seven thousand five hundred dollars ($7,500.00) but less than seven thousand ten thousand dollars ($10,000.00) in total, shall require three (3) telephone bids followed by a copy in writing. All expenditures must meet within the approved budget.
3. Cooperative Purchasing Contracts: Purchases made through the cooperative purchasing contracts administered by the State Division of Purchasing.
4. Single Source Providers: Purchases made from a single source provider.
5. Emergency Purchases: Purchases required during an emergency, i.e., an imminent threat to the public health, welfare or safety; however, as much competition as practical should be invited and such purchases should be limited to amount necessary to the resolution of the emergency.
6. Equipment: For equipment purchases of less than fifteen thousand dollars ($15,000.00), three (3) phone bids are required followed by a copy in writing. All expenditures must meet within the approved budget.
B. Purchases Requiring Sealed Bids:
1. Competitive Sealed Bidding: Contracts shall be awarded by competitive sealed bidding except as otherwise provided by this chapter.
2. Invitation For Bids: An invitation for bids shall be issued when a contract is to be awarded by competitive sealed bidding. The invitation shall include a description of the work, goods or services and all contractual terms and conditions applicable to the procurement. Public notice of the invitation for bids shall be given at least ten (10) days prior to the date set forth therein for the submission and/or opening of bids. The notice shall include posting of the invitation to bid at the usual place of posting notice for the City and publication in a newspaper of general circulation no less than one time within ten (10) days.
3. Opening And Recording Of Bids: Bids shall be opened publicly by the responsible purchasing agent, or an agent designated by the Mayor, at the time and place designated in the invitation for bids. The amount of each bid and any other relevant information, together with the name of each bidder, shall be recorded. The record of each bid shall be open to public inspection.
4. Unconditional Acceptance Of Bids; Evaluation: Bids shall be unconditionally accepted without alteration or correction, except as authorized in this chapter. Bids shall be evaluated based on the requirements set forth in the invitation for bids.
5. Correction Or Withdrawal Of Inadvertently Erroneous Bids: Correction or withdrawal of inadvertently erroneous bids before or after award, or cancellation of awards or contracts based on such bid mistakes, shall be permitted. After bid opening, no changes in bid prices or other provisions of bids prejudicial to the interest of the city or fair competition shall be permitted. All decisions to permit the correction or withdrawal of bids or to cancel awards or contracts based on bid mistakes shall be supported by a written determination made by the purchasing agent.
6. Award Of Contract: The contract shall be awarded with reasonable promptness, by written notice, to the lowest responsible bidder determined by the mayor and city council when the successful bid meets the requirements and criteria set forth in the invitation for bids.
7. Equipment Purchases: Equipment purchases in excess of fifteen thousand dollars ($15,000.00) require sealed bids and must be approved by the city council.
C. Cancellation And Rejection Of Bids: An invitation for bids, a request for proposals, or other solicitation may be canceled, or any or all bids or proposals may be rejected, in whole or in part, as may be specified in the solicitation, when it is in the best interest of the city. The reasons for cancellation or rejection shall be made part of the contract file. Bids will not be invited or solicited from persons or entities controlled by persons which may cause conflict with the other provisions of law or the policy of the city concerning nepotism.
D. Use Of Competitive Sealed Proposals In Lieu Of Bids: When the purchasing agent determines in writing that the use of competitive sealed bidding is either not practicable or not advantageous to the city, a contract may be entered into by competitive sealed proposals. Competitive sealed proposals are most appropriately used for professional service contracts.
1. Proposals shall be solicited through a request for proposals. Public notice of the request for proposals shall be given at least fourteen (14) days prior to the advertised date of the opening of the proposals.
2. Proposals shall be opened so as to avoid disclosure of contents to competitors during the process of negotiation. A register of proposals shall be prepared and shall be open for public inspection after contract award.
3. The request for proposals shall state the relative importance of price and other evaluating factors.
4. All proposals shall be accorded fair and equal treatment with respect to any opportunity for discussion and revision of proposals, and revisions may be permitted after submissions and prior to award for the purpose of obtaining best and final offers. In conducting discussions, there shall be no disclosure of any information derived from proposals submitted by competitors.
5. Award shall be made by decision of the mayor and city council and not by the purchasing agent to the person or entity whose proposal is determined, in writing, to be the most advantageous to the city, taking into consideration price and the evaluation factors set forth in the request for proposals. No other factors or criteria shall be used in the evaluation. The contract file shall contain the basis on which the award is made.
E. Architect Or Engineer Services: Architect or engineer services are qualification based procurements subject to public notice under subsection B of this section. Contracts should be negotiated by the city based on demonstrated competence at fair and reasonable prices and awarded by action of the city council. See Utah state code. The procurement of other professional services such as auditing and legal services shall be negotiated by the city based on demonstrated competence at fair and reasonable prices and shall be exempt from the requirements of this policy but shall be ratified by the city council.
F. Determination Of The Nonresponsibility Or Disqualification Of A Bidder: Determination of the nonresponsibility or disqualification of a bidder shall be made in writing. The unreasonable failure of a bidder to promptly supply information in connection with an inquiry with respect to responsibility may be grounds for a determination of disqualification or nonresponsibility with respect to the bidder. Information furnished by a bidder pursuant to this section shall not be disclosed outside of the city without prior written consent by the bidder.
G. Cost Plus A Percentage Of Cost Contracts Prohibited: Subject to the limitations of this section, any type of contract which will promote the best interests of the city may be used; provided, that the use of a cost plus a percentage of cost contract is prohibited unless specifically approved by the city council. A cost reimbursement contract may be used only when a determination is made in writing that such contract is likely to be less costly to the city than any other type or that is impracticable to obtain the supplies, services or construction required except under such a contract.
H. Required Contract Clauses: Required contract clauses are as follows:
1. The unilateral right of the city to order, in writing, changes in the work within the scope of the contract and changes in the time of performance of the contract that do not alter the scope of the contract work.
2. Variations occurring between estimated quantities of work in a contract and actual quantities.
3. Suspension of work ordered by the city.
4. Requirements for performance bonds and labor and material payment bonds as required by law for construction projects. (Ord. 2008-01A, 6-18-2008; amd. Ord. 2017-02, 5-9-2017; Ord. 2022-01, 3-9-2022)