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The following classes of public contracts are exempt from competitive bidding in that the Council hereby finds that the awarding of such contracts without competitive bidding is unlikely to encourage favoritism or substantially diminish competition for public contracts, and the awarding of such contracts will result in substantial cost savings to the city. An exemption under this subsection shall be granted only by resolution of the Council adopted in a public meeting, with specific findings which may consider the type, cost, amount of contract, number of persons available to bid and such other factors as the Council deems appropriate to support the exemption.
(A) Contracts under $5,000. Contracts for any purchase, the amount of which at time of purchase is less than $5,000.
(B) Contracts from $5,000 to $75,000. When the amount of the contract for goods, materials, supplies and services is more than $5,000, but less than $75,000, the city must obtain a minimum of 3 informally solicited competitive quotes. A written record of the 3 quotes shall be kept. If 3 quotes are not available, a lesser number will suffice so long as a written record is made of the effort to obtain the quotes.
(C) Equipment maintenance, repair and overhaul contracts. That meet the following conditions:
(1) The service and/or parts required are unknown and the cost cannot be determined without extensive preliminary dismantling or testing; or
(2) The service and/or parts required are for sophisticated equipment for which specially-trained personnel are required and/or such personnel are available from only one source; or
(3) If the contract exceeds $75,000, the public contracting agency shall document in its procurement file the reason why competitive bids or quotes were deemed to be impractical.
(D) Public improvements. When the contract is for a public improvement and the contract price exceeds $5,000, but is less than $75,000, the city must obtain a minimum of 3 informally solicited competitive quotes. A written record of the 3 quotes shall be kept. If 3 quotes are not available, a lesser number will suffice so long as a written record is made of the effort to obtain the quotes.
(E) Public works. When the contract is for a public works project and the contract price exceeds $5,000, but is less than $75,000, the contract shall comply with:
(1) The prevailing rate of wage for an hour's work in the same trade or occupation in Tillamook County, if such rate can be determined;
(2) A performance bond; and
(3) Contractor registration requirements.
(F) Contracts for price-regulated items. Contracts for the purchase of goods or services where the rate or price for the goods or services being purchased is established by federal, state or local regulatory authority.
(G) Gasoline, diesel fuel, lubricants and asphalts. Contracts for the purchase of gasoline, diesel fuel, lubricants and asphalts if city seeks competitive quotes from a majority of the venders in the area, makes its purchase from the least expensive source, and retains written justification for the purchase made.
(H) Trade related projects. Construction, maintenance repair or similar labor and materials contracts when the amount is more than $5,000, but less than $75,000, the city must obtain a minimum of 3 informally solicited competitive quotes. A written record of the 3 quotes shall be kept. If 3 quotes are not available, a lesser number will suffice so long as a written record is made of the effort to obtain the quotes.
(I) Fire suppression equipment. Contracts made between regularly organized fire departments as defined by O.R.S. 652.050, for fire protection equipment, as defined in O.R.S. 476.005, provided that:
(1) The purchaser makes a written request to the seller for the equipment; and
(2) The fire protection equipment is surplus or unusable by the seller; and
(3) The value of the equipment transferred does not exceed $50,000 per calendar year; and
(4) The seller/transferor holds a public hearing on the equipment transfer and finds that the transfer is in the public's interest.
(J) Copyrighted materials. Contracts for the purchase of copyrighted materials if there is only 1 known supplier available for such goods.
(K) Periodicals. Contracts for the purchase of subscriptions for periodicals, including journals, magazines and similar publications.
(L) Used personal property. Contracts for the purchase of used personal property for $150,000 or less. To secure used personal property costing less than $150,000 the city shall, where feasible, obtain 3 informally solicited competitive quotes unless the city has determined and finds that a purchase without obtaining competitive quotes will result in cost savings to the city and will not diminish competition or encourage favoritism. For purchase of used personal property over $150,000, 3 informally solicited competitive quotes shall be obtained, but if 3 quotes are not available, a written record must be made of the attempt to obtain quotes.
(M) Advertising contracts. Contracts for the purchase of advertising.
(N) Investment contracts. Contracts for the purpose of investment of public funds or the borrowing of funds.
(O) Requirement contracts. Purchases of goods or services from a supplier when the price of the goods or services has been established under a previously competitive bid requirements contract.
(1) REQUIREMENTS CONTRACT means a contract whereby the Council has agreed to purchase requirements for an anticipated need at a pre-determined price.
(2) Council may use the requirements contract entered into by another public contracting agency when a formal inter-agency agreement exists between the 2 agencies relating to the subject matter of the contract.
(P) Single seller or price. Contracts for purchase where there is only 1 seller or only 1 price among more than 1 seller of a product of the quality required or if the efficient utilization of existing equipment or supplies require specification of a compatible product for which there is only 1 seller, available within a reasonable purchase area.
(1) Contracts for insurance where either the annual or aggregate premium is lower than $20,000.
(2) Employee benefits insurance.
(3) Insurance through city county insurance services.
(R) Affirmative action contracts. Contracts let pursuant to a specific affirmative action plan.
(1) AFFIRMATIVE ACTION PLAN means any plan designed to insure equal opportunity in employment and business for persons otherwise disadvantaged by reason of race, color, religion, sex,
national origin, age, or physical or mental disability.
(2) Prior to awarding any contracts pursuant to this exemption, the city shall submit to the Council in writing:
(a) A description of the affirmative action plan, with emphasis on the goal or goals to be accomplished;
(b) A description of the contract to be awarded, including the amount therefor, name of contractor and type of work, product or service purchased.
(S) Data processing contracts. Contracts for the purchase or acquisition or word processing or data processing hardware or software, if prior to selection of a contractor, the city has solicited 3 proposals and, if the amount of the contract exceeds $15,000, the city has also solicited a proposal in an appropriate trade publication of general circulation.
(T) Telecommunications systems. Contracts for the purchase or acquisition of telecommunications system hardware and software if, prior to the selection of a contractor, the city has solicited 3 competitive quotes and, if the amount exceeds $15,000, the city may use the request for proposal process set forth in OAR 125-310-025 and the city shall solicit written proposals.
(U) Office copier. Requirements contracts for either the purchase or lease of office copying equipment.
(V) Personal property disposition for cash. Surplus personal property may be disposed of without competitive bidding, under any of the following conditions:
(1) There are specific statutory procedures for the sale of the type of property involved and the property is disposed of according to those procedures;
(2) The property involved has a value of $10,000 or less;
(3) When the property has a value greater than $10,000, the property must be offered for competitive bid or be offered for sale at a public auction. A public auction may be in person, or posted at an internet auction site, including any auction site of the state. If no bids are received, or the received bids do not meet the minimum bid requirements, the city may reject the bids and the city may negotiate a sale if:
(a) The negotiated sales price exceeds the market value of the property; or
(b) The negotiated sale amount exceeds the highest bid received through the bidding or auction process.
(W) Donated personal property. The city may donate or trade surplus personal property to other public agencies or to recognized non-profit social or health service entities subject to the following conditions:
(1) The property is not needed for other public purposes;
(2) If the property has a value greater than $500, the Council shall approve the donation or trade and there is documentation by the city that such a donation is in the public interest;
(3) The city determines that a donation or trade is the most efficient and cost effective method for disposing of the property or is otherwise in the best interests of the city;
(4) Records of all transfers or donations are kept by the city for a period of 3 years after the transfer.
(Ord. 10-413, passed 12-15-2010)