(A) California Uniform Public Construction Cost Accounting Act adopted. The City Council of the City of Madera, California hereby re-adopts the California Uniform Public Construction Cost Accounting Act (Cal. Public Contract Code §§ 22000 et seq.) for the purpose of prescribing regulations governing contracts awarded by the city for public projects. However, nothing contained herein shall preclude the city from utilizing more restrictive procedures if and when required by federal or state law, or when federal or state funds are involved in the contract to be awarded and the funding agency requires more restrictive procedures.
(B) Definitions of terms. As used in this section, the words, terms, and phrases shall have the following meanings, as defined in Cal. Public Contract Code § 22002, unless otherwise apparent from the context:
FACILITY. Any plant, building, structure, ground facility, real property, street, highway, or other public work improvement.
MAINTENANCE WORK. Does not constitute a "public project" under the definition of "public project" below; it does include the following:
(a) Routine, recurring, and usual work for the preservation or protection of any publicly owned or publicly operated facility for its intended purposes;
(b) Minor repainting;
(c) Resurfacing of streets and highways at less than one inch;
(d) Landscape maintenance, including mowing, watering, trimming, pruning, planting, replacement of plants, and servicing of irrigation and sprinkler systems; and
(e) Work performed to keep, operate, and maintain city-owned water and wastewater systems.
PUBLIC PROJECT. Any of the following:
(a) Construction, reconstruction, erection, alteration, renovation, improvement, demolition, and repair work involving any publicly owned, leased, or operated facility;
(b) Painting or repainting any publicly owned, leased, or operated facility;
(c) PUBLIC PROJECT does not include maintenance work, as defined above; and
(d) Furnishing supplies or materials for any such project, including maintenance or repair of streets or sewers.
(C) Dollar amount of public project determines process to be used. The dollar amount thresholds provided in this section shall automatically adjust upon the effectiveness of any adjustment notification by the State Controller in accordance with Cal. Public Contract Code §§ 22020 et seq., without the necessity of amending this section or any division herein to reflect any such adjustment.
(1) Public projects of $60,000 or less may be performed by city employees by force account, by negotiated contract or by purchase order.
(2) Public projects of $60,000.01 to $200,000 may be let to contract by informal bidding procedures as set forth in division (D) below.
(3) Public projects of more than $200,000 shall, except as otherwise provided in this section, be let to contract by formal bidding procedure as set forth in division (D) below.
(D) Procedures to be used for contracts regarding public projects.
(1) No bidding required. Per Cal. Public Contract Code § 22032, public projects of $60,000 or less may be performed by the employees of the city by force account, by negotiated contract, or by purchase order consistent with the procedures in § 2-4.05(A)(1) - (3). Such contracts may be approved and executed by City Manager or designee.
(2) Informal bidding procedures. Public projects of $60,000.01 to $200,000 per division (C)(2) above shall be awarded to the lowest responsive and responsible bidder in accordance with the Uniform Construction Cost Accounting Act, Cal. Public Contract Code §§ 22034 et seq., as follows:
(a) Contractors list. A list of qualified contractors shall be developed and maintained in accordance with the provisions of Cal. Public Contract Code § 22034 and criteria promulgated from time to time by the California Uniform Construction Cost Accounting Commission.
(b) Notice inviting informal bids. A notice inviting informal bids shall be prepared, which shall describe the project in general terms, describe how to obtain more detailed information about the project, and state the time and place for the submission of bids. The notice shall be mailed, not less than ten days before bids are due, to either all the contractors on the contractors list for the category of work to be bid or to all construction trade journals specified in the Cal. Public Contract Code § 22036, or both, unless the product or service delivery is proprietary.
(c) The informal bids for public projects shall be awarded by the City Council and signed by the Mayor or by City Council designee.
(d) If all bids received are in excess of $200,000, the City Council may, by adoption of a resolution of four-fifths vote of the members of the Council, award the contract, at $212,500 or less, to the lowest responsible bidder, if it determines the cost estimate of the public agency was reasonable.
(3) Formal bidding procedures. Public projects of more than $200,000 per division (C)(3) above shall be awarded pursuant to formal bidding procedures to the lowest responsive and responsible bidder in accordance with, but not limited to, the procedures set forth below.
(a) Notice inviting formal bids. The following are required:
1. Contents of notice. Notice inviting formal bids shall state the time and place for the receiving and opening of sealed bids and distinctly describe the project.
2. Publication of notice. The notice shall be published at least 14 calendar days before the date of opening the bids in a newspaper of general circulation, printed and published in the city, or otherwise comply with the requirements of Cal. Public Contracts Code § 22037.
3. Electronic transmission of notice. The notice inviting formal bids shall also be sent electronically, if available, by either facsimile or electronic mail and mailed to all construction trade journals as required by the Commission as specified in Cal. Public Contract Code § 22036. The notice shall be sent at least 15 calendar days before the date of opening the bids.
4. Per Cal. Labor Code § 1771.1, the notice must state that a contractor or subcontractor is not qualified to bid on, be last in a bid proposal for, or perform work on a project unless it is registered and qualified under Cal. Labor Code § 1725.5.
(b) Instructions to bidders. The notice inviting formal bids should also identify the contract documents to be considered, the availability of information, any scheduled pre-bid meetings, bid protest procedures, addenda, and any other procedures to be followed for bids to be considered.
(c) Bid package. The bid package should include the following:
1. The proposal form;
2. Submission of sealed bids;
3. A public bid opening;
4. Award to the lowest, responsive and responsible bidder;
5. City reservation in notice inviting bids of the right to reject any or all bids and to waive minor irregularities;
6. Award and execution of a written contract;
7. Reference to applicable state or federally funded project requirements;
8. Bid security;
9. Performance and payment bonds; and
10. Listing of subcontractors.
(E) Authority to prepare and issue notice inviting bids. The Purchasing Agent or designee is authorized to prepare and issue notices inviting bids and to establish such additional bidding procedures which must be consistent with those stated herein.
(F) Prohibition against splitting or separating projects. It shall be unlawful to split or separate into smaller work orders or projects any project for the purpose of evading the provisions of this Purchasing Ordinance requiring work to be done by contract after competitive bidding. Under Cal. Public Contract Code § 22033, "It shall be unlawful to split or separate into smaller work orders or projects any project for the purpose of evading the provisions of this article requiring work to be done by contract after competitive bidding."
(G) City Council authority to reject, re-advertise, or otherwise award.
(1) In its discretion, the City Council may reject any and all bids presented under the informal and formal bidding procedures described above for public projects, if the city, prior to rejecting all bids, furnishes a written notice to the apparent low bidder. The notice shall inform the bidder of the city's intent to reject the bid and shall be mailed or emailed at least two business days prior to the Council meeting at which the city intends to reject the bid. If after the first invitation for bids all bids are rejected, after reevaluating its cost estimates of the project, the city shall have the option of either of the following:
(a) Abandoning the project or re-advertising for bids in the manner described in this section;
(b) By passage of a resolution by a four-fifths vote of the City Council declaring that the project can be performed more economically by the employees of the city, the city may have the project done by force account without further complying with this section;
(2) If the contract is awarded, it shall be awarded to the lowest responsive and responsible bidder. If two or more bids are the same and the lowest, the city may accept the one it chooses.
(3) If no bids are received through the informal or formal bidding procedures described above, the project may be performed by employees of the city by force account or by informal bidding procedures set forth above.
(H) Emergency.
(1) In case of an emergency regarding a public project which requires formal bidding procedures, the City Council may pass a resolution by a four-fifths vote declaring that the public interest and necessity demand the immediate expenditure of public money to safeguard life, health, or property. The resolution shall specify findings as required in Cal. Public Contracts Code § 22050.
(2) EMERGENCY as used in this section means a sudden, unexpected occurrence that poses a clear and imminent danger, requiring immediate action to prevent or mitigate the loss or impairment of life, health, property, or essential public services.
(I) Written contracts required. All contracts for public projects shall be in writing; all amendments to contracts shall be in writing. The City Manager or his or her designee shall work with the City Attorney to ensure that the contract includes language protecting the city's interest and language required by law. This language shall include, but is not limited to specified term, scope of services, termination language, insurance, warranties, indemnification, non-collusion, contractor license, security, bonds, liquidated damages, change orders, retention, delays, claims process, prevailing wages, and compliance with applicable laws.
(J) Change order limits for public projects. The award of contracts for public projects shall include a recommended contingency amount not to exceed 15%. Any change order must be reasonably related to the scope of the original contract and based on post-award information that requires modification based on unforeseen conditions or by mutual agreement of the parties. Any change order which results in a total contract amount greater than the limits in this provision shall require City Council approval.
(Ord. 996 C.S., passed 12-21-22)