As used in this chapter, the following words and phrases shall have the meanings indicated:
ANNUAL BLANKET PURCHASE ORDER: A City issued document to a vendor allowing for the repetitive purchases of goods or services by authorized personnel for a specified time not to exceed twelve (12) months. An annual blanket purchase order shall be initiated by a department, using competitive procurement whenever practicable, for a specific amount of consideration that is drawn on throughout the specified time frame for payment of invoices related to such purchase order.
BID SECURITY: A guarantee, in the form of a bond, cash deposit, or other security acceptable to the City, that the successful bidder will execute a contract as bid, or will forfeit such security.
BIDDER'S LIST: A list maintained by the Purchasing Office setting out names and addresses of suppliers of various goods and services from which bids, proposals, and quotations may be solicited.
CHANGE ORDER: A City issued document used to modify a purchase order to add, delete or revise the quantity or services being provided.
CITY MANAGER: The City Manager for the City, or his or her designee.
COMPETITIVE PROCUREMENT: A process whereby bids, through formal, informal, or open market procurement, are solicited from bidders in accordance with applicable law under the direction of the Purchasing Agent.
CONFLICT OF INTEREST: A situation where the personal interests of a contractor, public official or employee are, or appear to be, in conflict with the best interests of the City, as determined in accordance with the laws of the State.
CONSTRUCTION: The process of building, altering, repairing, improving or demolishing any structure or building, or other improvement of any kind to any public real property. Construction does not include routine operation or maintenance of existing structures, buildings or real property by the City's own forces. "Construction" shall also include "public project" as defined in Public Contract Code section 20161 and section 2.16.140 of this chapter.
CONTRACT: Any type of legally recognized agreement to provide goods, services or construction.
COOPERATIVE PURCHASING: A purchasing method whereby the procurement requirements of two (2) or more governmental entities and/or public agencies are combined to obtain the benefit of volume procurement or reduction of administrative expenses.
DISBURSEMENT VOUCHER: A payment request form used in lieu of a purchase order for certain limited types of payments such as:
A. Refunds.
B. Employee/retiree reimbursements and stipends.
C. Insurance premiums.
D. Advertising (e.g., public notices, bid notices, job announcements).
E. Petty cash/bank account reimbursement.
F. Subscriptions, memberships, dues.
G. Registration for training and meetings; some related travel.
H. Federal and State mandated fees.
I. PERS payments.
J. Legal fees.
K. Other fees including permit, recording, fingerprinting and fiscal agent/bank.
L. Debt service payments.
M. Credit card payments.
N. Postage/mailing/meter/refills.
O. Utility charges.
P. Water stock payments.
Q. Other limited payments as approved by the Finance Director or City Manager.
ELECTRONIC BIDDING SYSTEM: Is the City's electronic e-procurement system which ensures that bids and proposals remain unopened and cannot be viewed by the public or City staff until the bid closing date and time.
EQUIPMENT: Personal property of a durable nature which retains its identity throughout its useful life.
FORMAL BID: A bid which shall be: a) solicited through published notice in a newspaper of general circulation in the City or the City's electronic bidding system at least ten (10) calendar days in advance of the bid opening date; b) submitted in a sealed envelope or electronically through the electronic bidding system, in conformance with a City prescribed format and procedure; c) publicly opened, read and recorded at the Office of the City Clerk at a City specified date and time; and d) accepted by award made by the City Council.
FORMAL PROCUREMENT: Procurement by written notice inviting bids and formal bid.
FORMAL REQUEST FOR PROPOSAL (RFP): A comprehensive written document that defines the objectives and needs of the City and requests potential vendors to propose the best method for meeting such objectives and needs. Formal RFPs must require paper or electronic sealed proposal, with cost proposals submitted in a separate, sealed envelope, or in a separate sealed cost electronic-file in accordance with section 2.16.170 of this chapter. Formal RFPs shall be evaluated and ranked by a Selection Committee of at least three (3) persons.
GOODS: Supplies, materials, equipment and other commodities included within the definition of "goods" in section 2105 of the California Commercial Code.
GRATUITY: A gift or favor, entertainment, loan or anything of monetary value from anyone who has or is seeking to obtain City business or conducts activities that may be affected by the performance or nonperformance of the employee's official duties.
INFORMAL BID OR QUOTATION: An unsealed competitive offer conveyed by letter, facsimile or other written means and under conditions different from those required for formal bidding; informal bids should only be solicited by City personnel authorized to do so, and for each solicitation of an informal bid, the authorized personnel shall obtain informal bids from at least three (3) different prospective bidders, if practicable. Informal bids for public projects shall be publicly opened, read and recorded at the Office of the City Clerk.
INFORMAL REQUEST FOR PROPOSAL (RFP): A comprehensive written document that defines the objectives and needs of the City and requests potential vendors to propose the best method for meeting such objectives and needs. An informal RFP should have the same level of detail as a formal RFP. Informal RFPs may require unsealed proposals and may be submitted by letter, facsimile, e-mail or other written means. Informal RFPs may be evaluated and ranked by City staff peer review or by a Selection Committee.
NEGOTIATION: Contracting through the use of either competitive or other than competitive proposals and discussions. Any contract/purchase order awarded without using formal bidding procedures is a negotiated contract/purchase order. Further, negotiation is a procedure that includes the receipt of proposals, which permits bargaining and usually affords an opportunity to revise their offers before award of a contract/purchase order. Bargaining in the sense of discussion, persuasion, alteration of initial assumptions of positions, and give and take may apply to price, schedule, technical requirements, type of contract/purchase order or other terms of a proposed contract/purchase order.
PROCURE OR PROCUREMENT: Buying, purchasing, renting, leasing or otherwise acquiring or obtaining goods, services or construction.
PROFESSIONAL SERVICES: All services performed by persons in a professional occupation including, but not limited to, consulting and the performance of services for accounting, attorneys, auditors, architects, computer and communications software, support, and related hardware, engineers, environmental, financial, personnel, planning, and other individuals or organizations exercising professional discretion and independent judgment based on specialized knowledge, expertise or training.
PURCHASE ORDER: A City issued document which authorizes the delivery of goods, the rendering of services, or the performance of construction at a stated price and which encumbers City funds for the payment thereof. A purchase order is a contract as defined in this chapter.
PURCHASE REQUISITION: A written request in the form as the City may from time to time determine, submitted by a City department to the Purchasing Office for procurement of goods, services or construction.
PURCHASING OFFICE: The City department, designated by the City Manager, for the administration of this chapter.
RECYCLED GOODS: Finished manufactured products containing recycled materials in the production thereof.
SERVICE (CONTRACTUAL): A contract that directly engages the time and effort of a contractor whose primary purpose is to perform an identifiable task rather than to furnish an end item of supply. It can also cover services performed by either professional or nonprofessional personnel, whether on an individual or organizational basis. Examples of contractual service or services contracts are: a) maintenance, overhaul, repair, rehabilitation, salvage, modernization or modification of supplies, systems, equipment; b) facilities maintenance; c) janitorial services; d) transportation and related services; e) accounting and auditing; and f) architecture and engineering.
SINGLE SOURCE PURCHASE: A purchase where it can be substantiated that a commodity or service can be obtained from one vendor, contractor or professional service provider which often is the "single" representative of the manufacturer or principal company. "Single source" purchases frequently involve a vendor, contractor or professional consultant whose product or service is discernibly distinguishable from all others in the market and singularly meets all significant elements of the City's requirement. In this context, "single" means "the one among others".
SMALL PURCHASE: A onetime, noncompetitive purchase of goods or services, which totals five thousand dollars ($5,000.00) or less. Each City department may issue a "short form" purchase order for unanticipated and non-repetitive purchases, which cumulatively do not exceed thirty thousand dollars ($30,000.00) per vendor, per fiscal year. Purchases shall not be split, staged or separated into smaller units of work for the purpose of evading the competitive bidding procedures or any other requirement of this chapter.
SOLE SOURCE PURCHASE: A purchase where it can be substantiated that a requirement involves commodity or service provided by only one vendor, contractor or professional service provider which has exclusive rights (e.g., rights to data, patent or copyright, proprietary interests or secret processes) to the manufacturing of the product or service. "Sole source" requirements must withstand the questions of: a) is the commodity or service the only of its kind which can fully satisfy the requirement, and b) the commodity or service is available from one, and only one, source. In this context, "sole" means "the only one".
STANDARDIZATION: The process of examining characteristics and needs per items of similar end usage and developing a single specification that will satisfy the need for most or all purchases for that purpose.
SURPLUS PROPERTY: Inventory not needed by the City at the present time or in the foreseeable future, such as obsolete supplies, equipment, and scrap materials that have little or no useful life. For purposes of this chapter, the term "property" does not include real property. (Ord. 2891, 2019)