Any expenditure for supplies, materials, equipment, construction projects or contracts obligating the City, where the amount of the City obligation is in excess of two thousand and one dollars ($2,001) (or such other amount which may be established by the Council by resolution) must be approved by the Council.
(a) Sealed bids shall be requested by the Agent by mailing a copy of the specifications or requirements to such qualified vendors as may be known to him or her, and by posting a copy of the request in the City Hall.
(b) Unless fixed by the Council, the Agent, with the concurrence of the Manager, shall prescribe the amount of any security to be deposited with any bid and, in the case of construction contracts, the amount of labor and material or performance bonds to be required of the successful bidder. Such security shall be in the form of a certified or cashiers check or bond written by a surety company authorized to do business in Michigan.
(c) Bids shall be opened in public at the time and place designated in the notice requesting bids. Bids shall be opened by or in the presence of the Agent and at least one other City employee. Immediately following opening the bids shall be examined, tabulated, and made available for inspection.
(d) The full tabulation of all bids shall be submitted to the meeting of the Council next following the opening of said bids, together with the recommendation of the Agent. The Council in its discretion shall accept the lower bid, reject all bids, or determine the low bid to be unsatisfactory and make the award to the lowest competent bidder.
(e) After the opening of the submitted bids, such bids may not be withdrawn without forfeiture of the bid deposit. Deposits of security accompanying the three low bids shall be retained until the contract is awarded and signed; other deposits shall be returned to the unsuccessful bidders immediately after the bids have been tabulated. If any successful bidder fails or refuses to enter into the
(f) contract awarded to him or her within ten days after being notified of such an award, or to file any bond required within the same time, the deposit accompanying his or her bid shall be forfeited to the City and the Council may, in its discretion, award the contract to the next lowest bidder or readvertise the project.
(g) At the time the contract of a construction project is executed by the contractor, he or she shall file a bond executed by a surety company authorized to do business in the State of Michigan, assuring payment of all just debts incurred in the performance of the contract, including wages and material bills, and shall file a performance bond when one is required in the bid specification. Said contract shall also file evidence of public liability insurance in an amount satisfactory to the Manager, and shall also protect the City from loss or damage caused to any person or property by reason of negligence of the contractor or his or her employee.
(h) (Ord. 362. Passed 3-1-94.)