A. Invitation for Bids. An Invitation for Bids shall be issued and shall include Specifications, and all contractual terms and conditions applicable to the Procurement.
B. Public Notice. Adequate public notice of the Invitation for Bids shall be given, not less than ten (10) calendar days prior to the date set forth therein for the opening of Bids. Such notice shall include publication in a newspaper of general circulation within the County and internet posting on the County website, not less than ten (10) days prior to the opening of Bids. The public notice shall state the place, date, and time of Bid opening.
C. Requirement for Bid Security. Bid Security shall be required for all competitive sealed bidding for Construction Contracts when the price is estimated by the Director of Purchasing to exceed $25,000.00. Bid Security shall be a bond provided by a surety company authorized to do business in the State of Illinois, or a certified check, bank draft or cashier’s check or otherwise supplied in a form satisfactory to the County. Nothing herein shall prevent the requirement of such bonds on Construction Contracts under $25,000.00 when the circumstances warrant.
D. Amount of Bid Security. Bid Security shall be in an amount equal to at least ten percent (10%) of the amount of the Bid except for the Division of Transportation, which should be at least five percent (5%).
E. Bid and Performance Bonds on Goods and Supplies, Services, or Construction Contracts. Bid and performance bonds or other security may be requested for Goods and Supplies, Equipment, Services, or Construction Contracts as the Director of Purchasing or head of a Using Agency deems advisable to protect the County’s interests. Any such bonding requirements shall be set forth in the solicitation. Bid or performance bonds shall not be used as a substitute for a determination of a bidder’s responsibility. When a Construction Contract is awarded in excess of $30,000, the following bonds or security shall be delivered to the County and shall become binding on the parties upon the execution of the Contract:
1. a performance bond satisfactory to the County, executed by a surety company authorized to do business in the State, or other security in a form satisfactory to the County, in an amount equal to one-hundred ten percent (110%) of the price specified in the Contract; and
2. a payment bond satisfactory to the County, executed by a surety company authorized to do business in the State or otherwise secured in a manner satisfactory to the County, for the protection of all Persons supplying labor or material to the Contractor or its subcontractors for the performance of the work provided for in the Contract. The bond shall be in an amount equal to one-hundred ten percent (110%) of the price specified in the Contract.
F. Reduction of Bond Amounts. After notice to the Finance & Audit Committee of the County Board, the Director of Purchasing is authorized to reduce the amount of the performance and payments bonds to fifty percent (50%) of the Contract price for each bond when a written determination is made that it is in the bests interests of the County to do so.
G. Authority to Require Additional Bonds. Nothing in this Section shall be construed to limit the authority of the County to require a performance bond or other security in addition to those bonds, or in circumstances other than specified in subsection E. of this Section.
H. Rejection of Bids for Noncompliance with Bid Security Requirements. When the Invitation for Bids requires security, noncompliance requires that the Bid be rejected unless it is determined that the Bid fails to comply only in a non-substantial manner with the security requirements.
I. Withdrawal of Bids. If a bidder is permitted to withdraw its Bid before award as provided in subsection N. of this Section, no action shall be had against the bidder or the Bid Security.
J. Bid Opening. Sealed Bids must be in writing and shall be opened publicly in the presence of one or more witnesses at the time and place designated in the Invitation for Bids. The amount of each Bid, and such other relevant information as the Director of Purchasing deems appropriate, together with the name of each bidder shall be recorded. The record and each Bid shall be open to public inspection in accordance with § 2.48.030.
K. Late Bids. No Bids received after the time specified in the Bid information will be considered. It is the bidder's responsibility to see that the Bid is delivered by the time and at the place specified. All Bids received after the specified time will be marked "Received too late for consideration," signed by the purchasing official and returned unopened.
L. Bid Acceptance and Bid Evaluation. Bids shall be unconditionally accepted without alteration or correction, except as authorized in this Ordinance. Bids shall be evaluated based on the requirements set forth in the Invitation for Bids, which may include criteria to determine acceptability such as inspection, testing, quality, workmanship, delivery, and suitability for a particular purpose and those criteria set forth in § 2.48.080(48) of this Ordinance. Alternative Bids may be considered and accepted provided they are specifically provided for in the Invitation for Bids and meet the evaluation criteria set forth therein.
M. Cancellation or Rejection of Invitations for Bids or Requests. 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 for good cause and in the best interests of the County. Each solicitation issued by the County shall state that the solicitation may be canceled by the Director of Purchasing and that any Bid or proposal may be rejected in whole or in part for good cause when in the best interests of the County. The reasons therefor shall be made part of the Contract File. Notice of cancellation shall be sent to all Businesses solicited. The notice will be electronically posted and shall identify the solicitation, explain the reason for cancellation and, where appropriate, explain that an opportunity will be given to compete on any re-solicitation or any future Procurements of similar items.
N. Correction or Withdrawal of Bids; Cancellation of Awards. Correction or withdrawal of inadvertently erroneous Bids before or after Bid opening, or cancellation of awards or Contracts based on such Bid mistakes, may be permitted where appropriate. Mistakes discovered before Bid opening may be modified or withdrawn by written or electronically transmitted notice received in the office designated in the Invitation for Bids prior to the time set for Bid opening. Written confirmation of the Bid shall be mailed or delivered the same day. After Bid opening, corrections in Bids shall be permitted only to the extent that the bidder can show by clear and convincing evidence that a mistake of a nonjudgmental character was made, the nature of the mistake, and the Bid price actually intended. After Bid opening, no changes in Bid prices or other provisions of Bids prejudicial to the interest of the County or fair competition shall be permitted. In lieu of Bid correction, a low bidder alleging a material mistake of fact may be permitted to withdraw its Bid if:
1. the mistake is clearly evident on the face of the Bid document but the intended correct Bid is not similarly evident; or
2. the bidder submits evidence which clearly and convincingly demonstrates that a mistake was made.
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 Director of Purchasing.
O. Award. The Contract shall be awarded with reasonable promptness by appropriate written notice to the lowest Responsible Bidder whose Bid meets the requirements and criteria set forth in the Invitation for Bids. In the event the lowest responsible Bid for a Construction project exceeds available funds, and such Bid does not exceed such funds by more than ten percent (10%), the Director of Purchasing is authorized, when time or economic considerations preclude re-solicitation of work on a reduced scope, to negotiate an adjustment in the Bid price with the lowest Responsible Bidder, in order to bring the Bid within the amount of available funds. Contracts shall be awarded according to the following considerations:
1. Lowest and Best Bid. The awards will be made to the lowest Responsible Bidder, availability of funds and all other relevant factors, provided the Bid meets the Specifications and other requirements of the Bid information.
2. Cash Discounts. In determining the lowest Bid, cash discounts, when stated separately, will be taken into account, unless stated otherwise in the Bid information.
3. Trade and Quantity Discounts. Trade and Quantity Discounts may be indicated, but should always be deducted by the bidder in calculating the unit price quoted.
4. Illinois Sales, Service and Use Tax. Bidder should not include Retailers’ Occupation Tax, Use Tax or Federal Tax in the Quotation. Receipts from sales to the County are normally exempt from these taxes.
5. Unit Price Governs. In case of a mistake in the extension of a price, the unit price will govern unless otherwise stated in the Bid information.
6. Awards of Any or All Items. An award may be made to the lowest aggregate bidder for all items on an individual item basis unless otherwise stated in the Bid information. If a split award is not acceptable to the bidder, it must be so stated in the Bid.
7. Costs. Projected delivery, installation, and operational costs of Equipment may be considered.
8. Guarantees and Warranties. Terms and conditions of bidders’ and manufacturers’ guarantees and warranties will be considered in the evaluation of Bids.
9. Repair and Service Requirements. The bidder’s or manufacturer’s ability to meet specified repair and service requirements may be used in evaluating Bids.
10. Tie Bids. If two or more Bids meeting the Specifications and other requirements of the Bid information are tied for low price, the Bids will be treated as follows:
a. if there is a significant difference in the responsibility of the bidders (including ability to deliver in the quantity and at the time required), the award will be made to the bidder who is deemed to be the most responsible.
b. if there is no significant difference in the responsibility of the bidders, but there is a difference in the quality of the commodities of Services offered, the Bid offering the best quality of items or Services will be accepted.
c. if there is no significant difference in responsibility of the bidders and no difference in the quality of the items and service offered, the Bid offering the earliest delivery time will be accepted in any case in which the Bid information specified that the needs of the County require as early delivery as possible. In all other cases, delivery time will not be considered in making awards so long as the bidder states delivery will occur not later than the time specified in the Bid information as the latest acceptable delivery time.
d. if the Bids quoting the same price are equal in every respect, the award may be split or made by lot.
P. Duration of Contracts.
1. No Contract may be issued for a period exceeding the lesser of (i) two (2) years or (ii) the amount of time between the date the Contract is entered into and the date that the new County Board shall take office after the next general election. Provided, however, that a Contract may be issued for a period not to exceed four (4) years so long as such Contract contains the proviso that the County shall have one hundred twenty (120) days after each election of County Board members to terminate the Contract without cause and without penalty.
2. Leases of Equipment and Machinery. The County Board may, upon the affirmative vote of two-thirds of its members, enter into one or more leases for a period not to exceed five (5) years for computer Equipment, data processing machinery, and software as may be required.
3. Purchase or Lease of Property. The County Board may purchase or lease any real estate or personal property for public purposes under Contracts providing for payment in installments over a period of time of not more than twenty (20) years in the case of real estate, and not more than ten (10) years in the case of personal property, with interest on the unpaid balance owing not to exceed the maximum rate authorized by the Bond Authorization Act, as amended at the time of the making of the Contract.
Q. Insurance.
1. General. The successful bidder shall maintain for the duration of the Contract and any extensions thereof, at bidder’s expense, insurance that includes "Occurrence" basis wording and is issued by a company or companies qualified to do business in the State of Illinois that are acceptable to the County, which generally requires that the company(ies) be assigned a Best's Rating of A or higher with a Best's financial size category of Class XIV or higher, in the following types and amounts:
a. Commercial General Liability in a broad form, to include but not limited to, coverage for the following where exposure exists: Bodily Injury and Property Damage, Premises/Operations, Independent Contractors, Products/Completed Operations, Personal Injury and Contractual Liability; limits of liability not less than $1,000,000 per occurrence and $2,000,000 in the aggregate;
b. Business Auto Liability to include, but not be limited to, coverage for the following where exposure exists: Owned Vehicles, Hired and Non-Owned Vehicles and Employee Non- Ownership; limits of liability not less than $1,000,000 per occurrence, combined single limit for bodily Injury Liability and Property Damage Liability;
c. Workers’ Compensation Insurance to cover all employees and meet statutory limits in compliance with applicable state and federal laws. The coverage must also include Employer's Liability with minimum limits of $100,000 for each incident.
2. Insurance Requirements for Construction Contracts. For all Construction Contracts, the Contractor and all sub-contractors shall be required to maintain adequate insurance coverage for the duration of the Contract. The Director of Purchasing shall determine, in consultation with the County Administrator and the Risk Management Department, the types and amounts of coverage that shall be required. The Contractor shall have the County named as an additional insured as its interest may appear and furnish the Director of Purchasing with satisfactory evidence of said insurance.
3. Certificate of Insurance. The successful bidder agrees that with respect to the above required insurance that:
a. the County of McHenry shall be provided with Certificates of Insurance evidencing the above required insurance, prior to commencement of the Contract and thereafter with certificates evidencing renewals or replacements of said policies of insurance at least fifteen (15) days prior to the expiration or cancellation of any such policies; and
b. the contractual liability arising out of the Contract shall be acknowledged on the Certificate of Insurance by the insurance company; and
c. the County of McHenry shall be provided with thirty (30) days prior notice, in writing, of Notice of Cancellation or material change and said notification requirement shall be stated on the Certificate of Insurance; and
d. except as otherwise provided by law, in addition to being named as an additional insured on the Certificate of Insurance, each liability policy shall contain an endorsement naming the County of McHenry as an additional insured. A copy of the endorsement shall be provided to McHenry County along with the Certificate of Insurance. The Director of Purchasing shall be responsible for obtaining and maintaining all required Certificates of Insurance and Policy Endorsements; and
e. subcontractors, if any, shall comply with the same insurance requirements; and
f. insurance notices and certificates of insurance shall be provided to:
McHenry County Purchasing Department
2200 N. Seminary Avenue, Room 200
Woodstock, Illinois 60098; and
g. McHenry County shall be named as additional insured for all Contracts.
R. Hold Harmless Clause. The successful bidder agrees to indemnify, save harmless and defend the County of McHenry, its agents, servants, and Employees, and each of them against and hold it and them harmless from any and all lawsuits, claims, demands, liabilities, losses and expenses, including court costs and attorney’s fees, for or on account of any injury to any Person, or any death at any time resulting from such injury, or any damage to property, which may arise or which may be alleged to have arisen out of or in connection with the work covered by the Contract upon award. The foregoing indemnity shall apply except if such injury, death or damage is caused directly by the willful and wanton conduct of the County of McHenry, its agents, servants, or Employees or any other Person indemnified hereunder.
S. Right to Inspect Plant. The County may, at reasonable times, inspect the part of the plant, place of business, or worksite of a Contractor or subcontractor at any tier which is pertinent to the performance of any Contract awarded or to be awarded by the County.
T. Right to Audit Records.
1. Audit of Contract Costs. The County may at reasonable times and places, audit the books and records of any Contractor who has submitted Cost or Pricing Data pursuant to Article VI to the extent that such books, documents, papers, and records are pertinent to such Cost or Pricing Data. Any Person who receives a Contract, Change Order, or Contract Modification for which Cost or Pricing Data is required, shall maintain such books, documents, papers, and records that are pertinent to such Cost or Pricing Data for three (3) years from the date of final payment under the Contract.
2. Contract Audit. The County shall be entitled to audit the books and records of a Contractor or a subcontractor at any tier under any negotiated Contract or subcontract other than a firm fixed price Contract to the extent that such books, documents, papers, and records are pertinent to the performance of such Contract or subcontract. Such books and records shall be maintained by the Contractor or subcontractor for a period of three (3) years from the date of final payment.
U. Reporting of Anticompetitive Practices. When, for any reason, collusion or other anticompetitive practices are suspected among any bidders, a notice of the relevant facts shall be transmitted to the State’s Attorney.
V. County Procurement Records.
1. Contract File. All determinations and other written records pertaining to the solicitation, award, or performance of a Contract shall be maintained for the County in a Contract File by the Director of Purchasing.
2. Retention of Procurement Records. All Procurement records shall be retained and disposed of by the County in accordance with records retention guidelines and schedules approved by the State of Illinois Local Records Commission.
W. Multi-Step Sealed Bidding. When it is considered impractical to prepare specifications which support an award based on price, an Invitation for Bids may be issued requesting the submission of unpriced offers to be followed by an Invitation for Bids limited to those bidders whose offers have been determined to be technically acceptable under the criteria set forth in the first solicitation.
(Ord. 7741, passed 7-16-2019)