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Sec. 10.39.4. Evaluation of City Construction Contractors.
 
   (a)   The DAA shall develop proposed rules and regulations for contract awarding authorities to follow in evaluating, documenting and reporting performance of contractors under personal services contracts. The proposed rules and regulations shall be submitted to the City Council for consideration and shall become final upon approval by the Council.
 
   (b)   The DAA shall collect and maintain evaluative data on contractor performance under personal services contracts and establish a database containing that evaluative data. Evaluative data shall include, but not be limited to: quality of work product or service performed; timeliness of performance; compliance with budget; and expertise of personnel assigned to the contract.
 
   (c)   Each contract awarding authority shall evaluate, document and report contractor performance under construction contracts in accordance with the rules and regulations adopted pursuant to Subsection (a).
 
   (d)   Each contract awarding authority shall consider information contained in the database maintained by the DAA determining bidder responsibility prior to award of construction contracts. Bidder responsibility shall be determined in accordance with applicable law.
 
SECTION HISTORY
 
Added by Ord. No. 173,018, Eff. 2-5-00.
Amended by: Subsecs. (a), (b) and (d), Ord. No. 176,155, Eff. 9-22-04; Subsecs. (a), (b) and (d), Ord. No. 176,283, Eff. 12-25-04, Oper. 9-22-04.
 
 
Sec. 10.39.5. [City Agency Responsibility Regarding Evaluation and Documentation.]
 
   When the City Council is the contract awarding authority, the City agency or official that will administer the contract shall consider information contained in the appropriate database before recommending the award of a contract to the City Council and shall be responsible for evaluating and documenting the contractor’s performance and reporting it to the appropriate database.
 
SECTION HISTORY
 
Added by Ord. No. 173,018, Eff. 2-5-00.
Amended by: Ord. No. 176,283, Eff. 12-25-04, Oper. 9-22-04.
 
 
Sec. 10.39.6. Application of Article.
 
   (a)   Proposed rules and regulations for evaluating, documenting and reporting contractor performance shall be submitted to the City Council for consideration within sixty days after the effective date of this article.
 
   (b)   This article shall be applicable to all contracts in existence at the time of or entered into after the rules and regulations for evaluating, documenting and reporting contractor performance for that type of contract have been approved by the City Council.
 
SECTION HISTORY
 
Added by Ord. No. 173,018, Eff. 2-5-00.
 
 
 
ARTICLE 14
CONTRACTOR RESPONSIBILITY PROGRAM
 
 
Section
10.40   Purpose.
10.40.1   Definitions.
10.40.2   Determination of Contractor Responsibility.
10.40.3   Compliance with All Laws.
10.40.4   Exemptions.
10.40.5   Administration.
10.40.6   Enforcement.
10.40.7   Application of this Article.
10.40.8   Consistency with Federal or State Law.
10.40.9   Severability.
 
 
Sec. 10.40. Purpose.
 
   Each year the City spends millions of dollars contracting for the delivery of products and services from private sector contractors. The prudent expenditure of public dollars requires that the City’s procurement process result in the selection of qualified and responsible contractors who have the capability to perform the contract. This includes, but is not limited to, contractors who demonstrate responsibility with respect to Employees by following all federal, state and City wage and labor laws, including but not limited to the Los Angeles Minimum Wage Ordinance, Los Angeles Municipal Code, Article 7, of Chapter XVIII or the Los Angeles Municipal Code, Article 8 of Chapter XVIII. Further, many lessees or licensees of City property perform services that affect the proprietary interests of City government in that their performance impacts the success of City operations. The City also provides financial assistance and funding to others for a variety of purposes. The City expends grant funds under programs created by federal and state government. The City intends that the procurement procedures set forth in this article guide the expenditure of federal and state grant funds to the extent permitted by federal or state procurement regulations.
 
SECTION HISTORY
 
Article and Section Added by Ord. No. 173,677, Eff. 1-14-01.
Amended by: Ord. No. 183,613, Eff. 7-19-15.
 
 
Sec. 10.40.1. Definitions.
 
   (a)   “Awarding Authority” means any Board or Commission of the City of Los Angeles, or any employee or officer of the City of Los Angeles, that is authorized to award or enter into any contract as defined herein, on behalf of the City of Los Angeles, and shall include departments having control of their own funds and which adopt policies consonant with the provisions of this article.
 
   (b)   “Contract” means any agreement for the performance of any work or service, the provision of any goods, equipment, materials or supplies, or the rendition of any service to the City or to the public, or the grant of City financial assistance or a public lease or license, which is let, awarded or entered into by or on behalf of the City of Los Angeles. Contracts for services and for purchasing goods and products that involve a value in excess of twenty-five thousand dollars ($25,000) and a term in excess of three months are covered by this Article. Construction contracts are covered by this Article without regard to contract amount and term.
 
   (c)   “Contractor” means any person, firm, corporation, partnership, association or any combination thereof, which enters into a Contract with any awarding authority of the City of Los Angeles and includes a recipient of City financial assistance and a public lessee or licensee.
 
   (d)   “Subcontractor” means any person not an employee who enters into a contract with a contractor to assist the contractor in performing a contract, including a contractor or subcontractor of a public lessee or licensee or sublessee or sublicensee, to perform or assist in performing services on the leased or licensed premises. The term subcontractor does not include vendors or suppliers to City purchasing contractors, unless the purchasing contract is for the purchase of garments such as uniforms or other apparel.
 
   (e)   “Bidder” means any person or entity that applies for any contract whether or not the application process is through an Invitation for Bid, Request for Proposal, Request for Qualifications or other procurement process.
 
   (f)   “Bid” means any application submitted by a bidder in response to an Invitation for Bid, Request for Proposal or Request for Qualifications or other procurement process.
 
   (g)   “Invitation for Bid” means the process through which the City solicits Bids including Requests for Proposals and Requests for Qualifications.
 
   (h)   “City Financial Assistance Recipient” means any person who receives from the City discrete financial assistance in the amount of One Hundred Thousand Dollars ($100,000.00) or more for economic development or job growth expressly articulated and identified by the City, as contrasted with generalized financial assistance such as through tax legislation.
 
   Categories of such assistance shall include, but are not limited to, bond financing, planning assistance, tax increment financing exclusively by the City, and tax credits, and shall not include assistance provided by the Community Development Bank. City staff assistance shall not be regarded as financial assistance for purposes of this article. A loan shall not be regarded as financial assistance. The forgiveness of a loan shall be regarded as financial assistance. A loan shall be regarded as financial assistance to the extent of any differential between the amount of the loan and the present value of the payments thereunder, discounted over the life of the loan by the applicable federal rate as used in 26 U.S.C. Sections 1274(d), 7872(f). A recipient shall not be deemed to include lessees and sublessees.
 
   (i)   “Public Lease or License” means a lease or license of City property as defined in the Living Wage Ordinance, Section 10.37 et seq. of Article 11, Chapter 1 of Division 10 of the Los Angeles Administrative Code.
 
   (j)   “Designated Administrative Agency (DAA)” means the Department of Public Works, Bureau of Contract Administration who shall bear administrative responsibilities under this article.
 
SECTION HISTORY
 
Added by Ord. No. 173,677, Eff. 1-14-01.
Amended by: Subsec. (j), Ord. No. 176,155, Eff. 9-22-04; Subsec. (j), Ord. No. 176,283, Eff. 12-25-04, Oper. 9-22-04; Subsec. (b), Ord. No. 176,292, Eff. 1-1-05.
 
 
Sec. 10.40.2. Determination of Contractor Responsibility.
 
   (a)   Prior to awarding a contract, the City shall make a determination that the prospective contractor is one that has the necessary quality, fitness and capacity to perform the work set forth in the contract. Responsibility will be determined by each awarding authority from reliable information concerning a number of criteria, including but not limited to: management expertise; technical qualifications; experience; organization, material, equipment and facilities necessary to perform the work; financial resources; satisfactory performance of other contracts; satisfactory record of compliance with relevant laws and regulations; and satisfactory record of business integrity.
 
   (b)   Every bidder for a City contract must complete and submit with its bid a questionnaire developed by the DAA which will provide information the awarding authority needs in order to determine if the bidder meets the criteria set forth in Paragraph (a) of this section. If no bid is required, the prospective contractor must submit a questionnaire. The response to the questionnaire must be signed under penalty of perjury. If, after execution of a contract, the City learns that the contractor submitted false information on the questionnaire, the City may terminate the contract and pursue the remedies set forth in Section 10.40.6 of this article. The contractor shall be obligated to update its responses to the questionnaire during the term of the contract within thirty calendar days after any change to the responses previously provided if such change would affect contractor’s fitness and ability to continue performing the contract. The City may consider failure of the contractor to update the questionnaire with this information as a material breach of the contract and invoke the remedies set forth in Section 10.40.6 of this article.
 
   (c)   Questionnaires will be public records and information contained therein will be available for public review, except to the extent that such information is exempt from disclosure pursuant to applicable law. The awarding authority may rely on responses to the questionnaire, information from compliance and regulatory agencies and/or independent investigation to determine bidder responsibility.
 
   (d)   Before being declared non-responsible, a bidder shall be notified of the proposed determination of non-responsibility, served with a summary of the information upon which the awarding authority is relying and provided with an opportunity to be heard in accordance with applicable law. At the responsibility hearing, the bidder will be allowed to rebut adverse information and to present evidence that it has the necessary quality, fitness and capacity to perform the work. The bidder must exercise its right to request a hearing within five calendar days after receipt of such notice. Failure to submit a written request for a hearing within the time frame set forth in this section, will be deemed a waiver of the right to such a hearing and the awarding authority may proceed to determine whether or not the award of the contract should be made to another bidder or whether or not the bidder is non-responsible for this and future contracts. The determination by an awarding authority that the bidder is non-responsible shall be final and constitute exhaustion of the bidder’s administrative remedies.
 
   (e)   A list of individuals and entities which have been determined to be non-responsible by the City shall be maintained by the DAA. After two years from the date the individual or entity has been determined to be non-responsible, the individual or entity may request removal from the list by the awarding authority. If the individual or entity can satisfy the awarding authority that it has the necessary quality, fitness, and capacity to perform work in accordance with the criteria set forth in Paragraph (a) of this section, its name shall be removed from the list. Unless otherwise removed from the list by the awarding authority, names shall remain on the list for five years from the date of being declared non-responsible.
 
   (f)   Contractors shall ensure that their subcontractors meet the criteria for responsibility as set forth in Paragraph (a) of this section, unless the subcontract is below the threshold requirements for contracts contained in Section 10.40.1(b).
 
SECTION HISTORY
 
Added by Ord. No. 173,677, Eff. 1-14-01.
Amended by: Subsec. (c), Ord. No. 176,292, Eff. 1-1-05.
 
 
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